Amazon.com Inc. Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2012; Provides Earnings Guidance for the First Quarter of 2013
January 30, 2013 at 03:02 am IST
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Amazon.com Inc. announced unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2012. For the fourth quarter, the company reported net sales of $21,268 million against $17,431 million a year ago. Income from operations was $405 million against $260 million a year ago. Income before income taxes was $337 million against $273 million a year ago. Net income was $97 million or $0.21 per diluted share against $177 million or $0.38 per diluted share a year ago. Net cash provided by operating activities was $5,081 million against $4,269 million a year ago. Purchases of property and equipment, including internal-use software and website development was $2,025 million against $550 million a year ago.
For the year, the company reported net sales of $61,093 million against $48,077 million a year ago. Income from operations was $676 million against $862 million a year ago. Income before income taxes was $544 million against $934 million a year ago. Net loss was $39 million or $0.09 per diluted share against net income of $631 or $1.37 per diluted share million a year ago. Net cash provided by operating activities was $4,180 million against $3,903 million a year ago. Purchases of property and equipment, including internal-use software and website development was $3,785 million against $1,811 million a year ago. Free cash flow decreased 81% to $395 million compared with $2,090 million for the trailing twelve months ended December 31, 2011.
The company provided earnings guidance for the first quarter of 2013. Net sales are expected to be between $15.0 billion and $16.6 billion, or to grow between 14% and 26% compared with first quarter 2012. Operating income is expected to be between a loss of $285 million and an income of $65 million, compared to $192 million in the prior year period.
Amazon.com, Inc. is one of the world leaders in on-line distribution of products to the general public. The group also operates a marketplace activity, allowing individuals and distribution companies to conduct their purchase and selling transactions for goods and services. The activity is organized around three families of products and services:
- electronic and computer products: toys, cameras, computers, laptops and peripherals, TVs, stereo systems, readers, wireless communication products, etc. Amazon.com also offers kitchen and garden equipment, clothing, beauty products, etc.;
- cultural products: books, musical products, video games and DVDs;
- other: primarily Internet interface and application development services.
Net sales break down by source of income between sales of services (55.5%) and sales of products (44.5%).
Net sales are distributed geographically as follows: the United States (68.8%), Germany (6.5%), the United Kingdom (5.9%), Japan (4.5%), and other (14.3%).
Amazon.com Inc. Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2012; Provides Earnings Guidance for the First Quarter of 2013