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> Specifically when it comes to Amazon, because Amazon really has razor thin margins in its retail sector What do you consider thin margins? Their overall mar
by PopeDotNinja 8y ago
> Specifically when it comes to Amazon, because Amazon really has razor thin margins in its retail sector
What do you consider thin margins? Their overall margins are better than Walmart's.
Amazon: 65_932_000 / 177_866_000 = 37% [1]
Walmart: 126_947_000 / 500_343_000 = 25% [2]
[1] https://finance.yahoo.com/quote/AMZN/financials?p=AMZN https://finance.yahoo.com/quote/AMZN/financials?p=AMZN
[2] https://finance.yahoo.com/quote/WMT/financials?p=WMT https://finance.yahoo.com/quote/WMT/financials?p=WMT
- greedo 8y agoThat's the gross margins for ALL of Amazon's business, so the fat profits of cloud are included. Their margin on physical goods must be lower.
- altmind 8y agoOperating margin is not Gross Profit/Total Revenue, its Operating Profit/Total Revenue. You were not surprised by the number 37% you got?
- mcrae 8y agoJust looking at Q4 results [0], looks like operating margins for the businesses are: US Retail: 5% [$2,251 / $44,124] Intl Retail: -3% [-$642 / $20,849] AWS: 29% [$2,177 / $7,430] Really striking diff between Retail and AWS biz. Walmart, for what its worth, had operating income of $20B on $500B in revenue, so about 5% there too. [0] https://ir.aboutamazon.com/static-files/a5035fcd-5646-45df-b1ad-cef3f376a61a https://ir.aboutamazon.com/static-files/a5035fcd-5646-45df-b...