{"id":104520,"date":"2024-08-02T15:55:40","date_gmt":"2024-08-02T11:55:40","guid":{"rendered":"https:\/\/noortrends.ae\/en\/?p=104520"},"modified":"2024-08-02T17:23:01","modified_gmt":"2024-08-02T13:23:01","slug":"amazons-q2-earnings-beat-expectations-but-stock-drops-on-soft-guidance","status":"publish","type":"post","link":"https:\/\/noortrends.ae\/en\/amazons-q2-earnings-beat-expectations-but-stock-drops-on-soft-guidance\/08\/02\/market-updates\/","title":{"rendered":"Amazon&#8217;s Q2 Earnings Beat Expectations, But Stock Drops on Soft Guidance"},"content":{"rendered":"\n<h3 class=\"wp-block-heading\"><\/h3>\n\n\n\n<p>Amazon (NASDAQ:AMZN) reported second-quarter earnings that exceeded analyst expectations, yet its stock fell more than 8% in Friday&#8217;s premarket trade due to softer-than-anticipated guidance for the third quarter.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Key Financial Highlights<\/h4>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Adjusted Earnings per Share (EPS)<\/strong>: Amazon posted an adjusted EPS of $1.26 for the quarter ended June 30, 2024, surpassing the analyst estimate of $1.03.<\/li><li><strong>Revenue<\/strong>: The company reported revenue of $148.0 billion, slightly below the consensus estimate of $148.68 billion but up 10% year-over-year (YoY) from $134.4 billion in the same quarter last year.<\/li><li><strong>Third-Quarter Revenue Guidance<\/strong>: Amazon&#8217;s revenue guidance for Q3 is between $154 billion and $158.5 billion, falling short of the analyst expectation of $158.2 billion.<\/li><\/ul>\n\n\n\n<h4 class=\"wp-block-heading\">Segment Performance<\/h4>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Amazon Web Services (AWS)<\/strong>: AWS reported sales of $26.3 billion for Q2, up 19% YoY. Andy Jassy, Amazon President &amp; CEO, highlighted the continued reacceleration in AWS growth as a significant positive for the company.<\/li><li><strong>North America Segment<\/strong>: This segment saw a 9% increase in revenue to $90.0 billion.<\/li><li><strong>International Segment<\/strong>: Revenue grew by 7% to $31.7 billion, or 10% excluding foreign exchange impacts.<\/li><\/ul>\n\n\n\n<h4 class=\"wp-block-heading\">Operational Metrics<\/h4>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Operating Income<\/strong>: Amazon\u2019s operating income more than doubled to $14.7 billion from $7.7 billion in the second quarter of 2023.<\/li><li><strong>Online Sales and Third-Party Seller Performance<\/strong>: Both metrics fell short of consensus expectations by 0.3% and 1.2%, respectively. Despite strong volume, lower average selling prices (ASPs) offset gains.<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Conclusion<\/h3>\n\n\n\n<p>While Amazon&#8217;s Q2 earnings surpassed expectations, the softer guidance for Q3 and ongoing consumer trends towards lower-priced items contributed to the decline in stock price. The company&#8217;s strong performance in AWS and other segments indicates resilience, but investor concerns over future growth and economic conditions continue to weigh on the stock.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Amazon (NASDAQ:AMZN) reported second-quarter earnings that exceeded analyst expectations, yet its stock fell more than 8% in Friday&#8217;s premarket trade due to softer-than-anticipated guidance for the third quarter. Key Financial Highlights Adjusted Earnings per Share (EPS): Amazon posted an adjusted EPS of $1.26 for the quarter ended June 30, 2024, surpassing the analyst estimate of &hellip;<\/p>\n","protected":false},"author":9,"featured_media":55058,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[39,36],"tags":[6933,10435,7113,8109],"class_list":["post-104520","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-global-stock-markets","category-market-updates","tag-amazon","tag-cost-cutting","tag-earnings","tag-q2"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/104520","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=104520"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/104520\/revisions"}],"predecessor-version":[{"id":104521,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/104520\/revisions\/104521"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/55058"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=104520"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=104520"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=104520"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}