Amazon third quarter results announced, shares up 20%

October 23rd, 2009 - 8:38 pm ICT by Aishwarya Bhatt  

Amazon Logo Seattle, Oct 23 (THAINDIAN NEWS) Amazon.com Inc. today announced financial results for its third quarter ending on September 30, 2009. As a result of Amazon’s favorable 3rd quarter results, its shares rose by 20%.

Amazon’s operating cash flow was $2.25 billion for the last twelve months, compared with $1.27 billion for the previous twelve months ending on September 30, 2008.

Free cash flow increased 98% to $1.92 billion for the last twelve months, compared with $0.97 billion for the previous twelve months ending on September 30, 2008.

Common shares outstanding plus shares underlying stock-based awards outstanding totaled 451 million on September 30, 2009, compared with 448 million a year ago.

Net sales increased from 28% to $5.45 billion in the third quarter, compared with $4.26 billion in third quarter of 2008. Even if we exclude the $41 million unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales would have grown 29% compared with third quarter 2008.

Operating income increased significantly from 62% to $251 million in the third quarter, compared with $154 million in third quarter 2008. Even if we exclude the $10 million unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter, operating income would have grown 69% compared with third quarter 2008.

Amazon’s net income increased almost three-folds, 68% to $199 million in the third quarter, or $0.45 per diluted share, compared with net income of $118 million, or $0.27 per diluted share, in third quarter 2008.

Amazon’s kindle is flying off the racks. “Kindle has become the #1 bestselling item by both unit sales and dollars – not just in our electronics store but across all product categories on Amazon.com. It’s also the most wished for and the most gifted. We are grateful for and energized by this customer response,” said Jeff Bezos, founder and CEO of Amazon.com. “Earlier this week we began shipping the latest generation Kindle. Its 3G wireless works in the U.S. and 100 countries, and we’ve just lowered its price to $259.”

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