Amazon Announces a 9% Increase in Revenue in Q4 in The Fourth Quarter

Amazon shares fell more than 4% in extended trading on Thursday after the company reported weaker-than-expected

Amazon posted a significant profit outperformance for the fourth quarter, buoyed by gains from its investment in electric vehicle company Rivian.

The company also revealed revenues from its fast-growing advertising business for the first time.

On Thursday, Amazon said revenue jumped 9% last quarter, and the company reported a gain of about $12 billion from its investment in electric car company Rivian.

Earnings per share amounted to $5.80 versus $3.57 expected, while revenue reached $137.4 billion versus $137.6 billion expected.

AWS revenue came in at $17.8 billion, versus $17.37 billion expected.

Amazon was guided by first-quarter revenue of between $112 billion and $117 billion, below the average estimate of $120 billion.

Operating profit for the fourth quarter will range from $3 billion to $6 billion.

Fourth-quarter sales grew 9.4% to $137.4 billion.

This is Amazon’s first period of growth since 2017.

Even with the weaker-than-expected sales number and disappointing guidance, Amazon gave investors enough confidence that growth would recover.