Amazon's revenue may be huge, but profits aren't all that big
The holiday season was obviously a good one for Amazon, even if the company did miss out on Wall Street estimates.The company announced that it had a profit of $239 million (€176.8 million) in the fourth quarter of 2013, twice as much as it managed to get the year before. Over the entire year, Amazon only managed to bring in a profit of $274 million (€202.7 million). Despite the small number, it’s still better than the reported losses of $39 million (€28.8 million) in the previous year.
During the same quarter, Amazon also raked in revenues of $25.59 billion (€18.93 billion), well above the $21.27 billion (€15.73 billion) it had in the same period of 2012.
The company also mentioned that it might be increasing the price of Amazon Prime in the coming year with up to 50 percent, which means that the $79 (€58.4) service could end up costing $40 more (€29.5). That’s because the shipping prices have risen, Amazon said.
This particular service offers free two-day shipping for members for a number of items, as well as plenty of other bonuses.