Wall Street was optimistic about the quarterly result of Amazon, and the company has announced that they’ve beaten the expectations. Today, Amazon shared the quarterly results with the market, and the results have surpassed the expectations. The profits are above the expectations, but the overall revenue has slowed a bit for Amazon. For the first quarter of 2019, Amazon hit the net income of $3.6 billion, which is the record for the company. Most of the revenue is coming from online services like eCommerce, Advertising and the Amazon Web Services Cloud Hosting service.
Amazon has done a pretty good job in diversifying the portfolio, as for the first time the earnings report includes the results from Whole Foods chains. Amazon recently brought the Whole Foods division for diversification and to boost the Amazon Pantry business. But if we compare the revenues from Whole Foods with that of Amazon Web Services, then the growth is very much slower for Whole Foods division. The company is already facing the backlash from the community after the reports of working conditions for employees in distribution centers and also the cancellation of the second headquarters in New York.
But, none of them impacted the company as Jeff Bezos took the opportunity to offer investment in education to create talented engineers that could work for Amazon. With the example of a Son of a single mom, who received the Amazon Future Engineer scholarship and Amazon internship worth $40,000 to become the engineer. Even though the company is reporting the profits for a long time, the growth rate is slowly declining. Thankfully, Amazon is considering considerable investments in other ventures to keep up with the expectations and diversify the portfolio to stay safe from the market fluctuations.