Thursday, January 29, 2009

Amazon.com Announces More Good News

Well it is always great to find a bit of good news amongst all the notifications of further layoffs. Bucking economic trends, Amazon.com released 4th quarter results today with 9% increase in net income and 18% increase in sales. They also projected continue growth in the first quarter of 2009, citing their prime shipping program as a key strength. It seems especially reassuring that, you can see the company had extremely strong net sales growth in its non-media category (41% for North America, 45% World Wide). In fact, in the 4th quarter, North American net sales were almost at parity between the two categories (Media and Other Merchandise). It seems to me that many of Amazon's customers are shifting more and more of their purchases to the site to maximize their benefit from the prime program.

Another interesting tidbit in the statements is that Amazon seems to have continued growing their workforce substantially during 2008. Now standing at 20,700 employees, that is an almost 22% growth since last year. I wonder if the company is taking advantage of everyone else cutting back to sweep up some top talent... it would make sense given the aggressive investment the company is making into new categories (cloud computing, Kindle, Amazon Fresh, etc).

Lets hope for more good news from local companies!

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