- Tram Ho
Amazon CEO Jeff Bezos warned investors earlier this year, that they could be mentally prepared for a large loss to be reported in Q2 / 2020. Because Amazon has planned to spend $ 4 billion (all expected operating profits for Q2), for Covid-19 related expenses.
Amazon is expected to net loss of $ 1.5 billion this quarter. But the reality is exactly the opposite, despite the Covid-19 pandemic, Amazon doubled its net profit to $ 5.2 billion. Compared to the same period last year, this figure was only 2.9 billion USD. That’s minus the $ 4 billion cost, spent to overcome the consequences related to Covid-19.
Amazon said that since March, it has created 175,000 new jobs (seasonal contracts), which are now converting 125,000 into full-time full-time employees. Amazon also gave $ 500 million in bonuses to employees working during the season. Part of the $ 4 billion cost was also used to raise salaries for contract employees.
It’s rare for a company to function well during a pandemic, leaving many unemployed. The most impressive thing is that Amazon has doubled profits compared to last year. Show that in the context of world economic crisis, Amazon is still developing strongly.
CEO Jeff Bezos said the company will continue to spend $ 2 billion on Covid-19 related expenses in Q3 / 2020. Since early 2020 until now, Amazon stock has recorded an impressive growth of 65%.
Source : Genk