The crisis is also being felt on the internet. In the fourth quarter of the year, Amazon saw profits fall beyond analysts' expectations on higher shipping costs and losses related to the Kindle Fire (which sold for less than production costs). The world's largest internet retailer saw earnings fall 57 percent to $177 million, 38 cents a share, from $416 million or 91 cents a share in the same period last year between October and December. .
Meanwhile, sales rose 35% to $17,43 billion from $12,95 billion in the recent period last year. Analysts were expecting profits of 16 cents a share on sales of $18,3 billion.
For the first period of the new year, Amazon said it expects earnings to decline further and to fluctuate between a $100 million profit and a $200 million loss. While sales should be between 12 and 13,4 billion dollars.
Analysts expect profits of $268,1 million on revenue of $13,4 billion for the first three months of the new year. Immediately following the release of the disappointing quarterly, the stock lost 8,1% to $178,70.
