Dive Brief:
- Amazon posted its earnings for the most recent quarter Thursday, with a revenue of $19.34 billion, up from $15.7 billion in the same period a year prior.
- But the e-commerce retail giant also posted a net loss of $126 million, much wider than what was expected on Wall Street. Amazon also warned that loses in the third quarter would continue, predicting an operating loss of up to $810 million.
- Following the news, shares of the company's stock dipped 10% in extended-hours trading.
Dive Insight:
Many are pointing to this unexpectedly wide loss as a sign that Amazon may be expanding a little too fast, with little thought of future profits. And with mixed reviews coming in on its new Fire phone, the company may start to feel pressure from investors, as well as skepticism surrounding its long-term business goals.