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Thursday, Oct 24
Amazon higher as strong sales trump in-line loss, Q4 guidance wide open
- Amazon (AMZN) grew product sales at a fast clip of 19.6% in Q3, and services sales rose even faster at 45%, but total operating expenses didn't just go away as the company's cost of sales rose 20% to $12.366B during the period.
- Sales grew 31% for the company's North America segment and 15% for International as the net sales mix moved 3 bps back toward North America.
- The company sees Q4 revenue of of $23.5B - $26.5B to top its earlier forecast, but with a mid-point below the analysts' consensus estimate of $25.9B.
- The guidance for Q4 operating income is -$500M to +$500M, a nifty $1B range for a single quarters' worth of sales. (PR)
- AMZN +6.0% AH to $351.36.