Amazon reports increased 1Q profits and net sales fueled by cloud computing demand
by Anne D'Innocenzio · The Washington TimesNew York — Amazon on Wednesday reported a strong increase in profits and net sales during its fiscal first quarter, helped by surging growth in its prominent cloud computing unit.
The e-commerce and technology company said that sales in its cloud computing unit were up by 28%, the fastest increase in 15 quarters.
The number surpassed Amazon Web Services’ 24% growth in the fourth quarter, which followed 20% growth in the third quarter.
Amazon reported earnings of $30.3 billion, or $2.78 per share, for the three-month period ended March 31. That compared with $17.1 billion, or $1.59 per share, in the year-ago period.
Net sales rose 17% to $181.5 billion in the quarter, compared with $155.7 billion in the year-ago quarter.
Analysts were expecting $1.63 per share on sales of $177.28 billion, according to analysts surveyed by FactSet.
Revenue from Amazon Web Services reached $37.58 billion. Analysts were expecting $36.6 billion, according to FactSet.