Amazon has returned to profit in the second quarter of the year, posting net profits of $92m (£59m) for the period ending 30th June.
Net sales for the quarter increased 20% to $23bn (£15bn) in the second quarter, compared with $19bn (£12bn) in second quarter 2014. Excluding unfavourable exchange rates, sales were up 27%.
Operating income was $464m (£300m), compared to a loss of $15m (£10m) last year.
C.e.o. Jeff Bezos said the teams at Amazon “have been working hard for customers”, citing successes such as the unveiling of Amazon Business and Amazon Prime Day, when it offered heavy discounts to encourage shoppers to sign up to Prime membership, breaking its own records in the process.
The Amazon’ Web Services division also grew, with revenue up 81% to $1.82bn (£1.17bn) from a year ago. The AWS European business, based in Frankfurt, is AWS’ fastest growing international region to date, the company said.
However, international net sales were overall lower than the company average, increasing only 3% during the quarter to $7.5bn (£4.8bn). North American sales, by contrast, increased 25% to $13.8bn (£8.9bn).
Shares in the company rose 18% after the results were announced yesterday (23rd July), surpassing those of Walmart to make Amazon the highest-value retail company in the world. According to the Guardian, the company is now valued at $270bn (£174bn), compared to Walmart at $233bn (£150bn).
Looking forward, Amazon expects net sales to grow between 13% and 24% in the third quarter.