The quarterly financial report did not bring good prospects for Amazon. shares Jeff Bezos fell 10% and spending increased, bringing projected net income between $116 billion and $121 billion over the next three months.

Market analysts had expected that number to reach 125.48 billion. According to the technology giant, the adverse data was due to high operating costs of distribution and logistics centers.

With rising fuel prices around the world, consumers have less income to spend on groceries, and their delivery has become more expensive. This forced Amazon to raise the price of its Express Delivery Club.

Amazon has been one of the companies that has weathered well during the Covid-19 pandemic. Its sales increased and its net income rose by approximately 37% at the end of 2020 compared to the same period in 2019. However, high salaries for hiring new employees during the labor crisis in the US “stopped” growth.

Even with the measures taken to address the current global financial scenario, the labor and fuel crisis, the organization does not expect to exceed $7.7 billion in profit in the first quarter of 2021 – the 2022 estimate is “only” $3 billion.

Despite recorded growth in sales in North America – about 8% – costs have almost doubled. As a result, Amazon lost $1.6 billion in the market of its continent.

Amazon CEO ‘discusses’ Elon Musk purchase on Twitter

In recent days, before the release of the financial report, Bezos was involved in a small “debate” about the purchase twitter behind Elon musk. According to the company’s CEO, the South African businessman will have to face the “complexities” of China, where the social network and an important part of the company’s business has been blocked since 2009. Tesla.

The American wondered if an Asian country would be able to gain influence on Twitter due to relations with the manufacturer, but he believes that Musk handles such discussions “very well” and will not allow this, remember:

“My own answer to this question is probably “no” [maior influência do país]”, he said in a tweet. “The most likely outcome in this regard will be difficulties in China for Tesla, not Twitter censorship.”

“We will see. Musk does an excellent job of dealing with this kind of complexity, ”he concluded, quoting at the beginning of the conversation the publication of a reporter from the American newspaper The New York Times.

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Source: WOL, Gizmodo.