Alphabet (Google) records 17% revenue growth, while Amazon reported sales up 31%
Amazon reported a net income of $857 million in the second quarter, compared with $92 million in second quarter of 2015
Two of the big names in American business today, Alphabet and Amazon, reported big jumps in revenue in their latest earnings reports.
Alphabet, that is Google, reported that its revenue grew 17 percent in what was its first quarter of its 2016 fiscal year.
“Our Q1 results represent a tremendous start to the year with 17% revenue growth year on year and 23% growth on a constant currency basis. We’re thoughtfully pursuing big bets and building exciting new technologies, in Google and our Other Bets, that position us well for long term growth,” said Ruth Porat, CFO of Alphabet.
The online retailer Amazon also saw sales jump. Net sales increased 31 percent to $30.4 billion in its second quarter of 2016, compared with $23.2 billion in second quarter 2015. Net income also even better, coming in at $857 million in the second quarter, compared with $92 million in second quarter 2015.
Alphabet’s shares surged in after-hours trading, while Amazon’s dipped at first, then rebounded. Its shares have been on a surge since February.
“It’s been a busy few months for Amazon around the world, and particularly in India — where we launched a new AWS Region, introduced Prime with unlimited free shipping, and announced that Prime Video is coming soon, offering Prime members in India exclusive access to Amazon Original Series and Movies — including original content featuring top Indian creators and talent,” said Jeff Bezos, founder and CEO of Amazon.com. “The team in India is inventing at a torrid pace, and we’re very grateful to our Indian customers for their welcoming response.”
As usual, Amazon ticked off a whole series of achievements for the quarter without actually revealing any hard numbers for hardware or eBook sales, so it would be hard to see how well the company is doing in areas where others are reporting slowing sales. For example, the AAP recently reported that eBooks were down 18.7 percent for the big publishers that the association represents.