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> Amazon is an online retailer but only achieved profitability due to AWS. Amazon was profitable in 2002 to 2006 before introduction of AWS services of S3 and
by jasode 6y ago
> Amazon is an online retailer but only achieved profitability due to AWS.
Amazon was profitable in 2002 to 2006 before introduction of AWS services of S3 and EC2 in 2006:
https://dazeinfo.com/2019/11/06/amazon-net-income-by-year-graphfarm/ https://dazeinfo.com/2019/11/06/amazon-net-income-by-year-gr...
Amazon's retail operation is profitable on its own. They just have lower profit margins than AWS.
- JJMcJ 6y ago> lower profit margins than AWS Which is exactly what you would expect. Retail is notoriously low margin.
- austincheney 6y agoNet income is not profit. https://www.investopedia.com/ask/answers/122414/operating-profit-same-net-income.asp https://www.investopedia.com/ask/answers/122414/operating-pr... Judging by the numbers you provided it appears Amazon was barely cash flow positive during your specified time frame.
- jasode 6y ago>Net income is not profit. A positive +net income is net profit. The "net profit" has more expenses subtracted than "operating profit" but "net income" _is_ profit. [fyi I wasn't the one that downvoted your comments.]
- codegeek 6y agoIf net income > 0, it is profit. If net income < 0, it is loss. That's what my accountant taught me.