(AFP) – Oct 22, 2008
NEW YORK (AFP) — Amazon.com on Wednesday reported a 48-percent rise in net profits for the third quarter of the year, but the Internet retail giant lowered its outlook for the full year.
Amazon said net profits rose to 118 million dollars in the quarter which ended on September 30, better than the 80 million dollars in the same period of 2007 but less than the 158 million dollars in the previous quarter.
The Seattle, Washington-based firm reported earnings per share of 27 cents for the third quarter, better than analysts' expectations of 25 cents and the 19 cents per share in the third quarter of 2007.
It said revenue rose 31 percent in the third quarter to 4.26 billion dollars from 3.26 billion dollars in the third quarter of last year.
Sales of electronics and other general merchandise powered Amazon's results in the third quarter, rising by 52 percent during the period to 1.64 billion dollars compared with 1.08 billion dollars in the third quarter of 2007.
Amazon also lowered its full year expectations, saying it expected revenue of between 18.46 billion dollars and 19.46 billion dollars in 2008, less than the 19.35 billion dollars and 20.10 billion dollars predicted in July.
Amazon's share price took a beating in after-hours trading after its results were announced, losing 13.76 percent to 43.11 dollars.
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