Amazon grew 36% but disappoints investors
Amazon have announced their latest performance figures to Wall Street, but despite a 36% rise in revenues with profits up around 8% their shares took a 9.9% dip in after hours trading.
Despite sales which rose about $10bn for the first time, (smashing through the barrier to $12.95bn), the 36% increase was a disappointment to analysts who had predicted a higher figure.
The drop in the share price could also be due to Amazon expecting earnings to drop this quarter due to investment in technology. Amazon are also on the acquisition trail with Diapers.com and LOVEFiLM added to the Amazon portfolio as well as building new distribution centres one of which will be in Scotland.
Kindles are doing well on Amazon, excluding free books for every 100 paperbacks they sold they 115 eBooks. Sales of eBooks had already surpassed sales of hard back books by July 2010. The future of publishing is definitely moving towards electronic rather than print versions.
Amazon have opened up the Kindle to more platforms including mobile handsets so you no longer even have to have a Kindle reader with you to access your library. The Kindle was Amazon’s best selling product for the last quarter followed by the Toy Story 3 DVD.
The Kindle is great for £111 but £50 for the case is ridiculous, that is where the profit is.
A few years ago when VHS Video was all the rage we in Printed Books were regularly told that Video was the future and Printed Books on Paper was Obsolete. Today VHS Video is for Car Boot Sale or Jumble Sale while every years many thousands of Books printed on paper are being Published. “The future of publishing is definitely moving towards electronic rather than print versions”. May I as somebody who has been selling books for at least 30 years make a point. Whizz-Bang Electronic Books will be in all the best Jumble Sales and Car Boot Sales in a few years as further technological advances render them obsolete yet Printed Books on Paper will still be being published in 100 years time. There are certainly changes going on in publishing but Books on Paper are the quality end of the market while the “Whizz-Bang” Electronic Books are the rubbish end of the market.
gis a chance
fire has only just been discovered up here
The only books that convert well to ereaders are books that you read from beginning to end and then forget. Any work of non fiction which is used for reference or books with pictures or educational books or books larger than a typical fiction paperback and forget it.
I wonder if there were similar snooty comments when quill and ink manuscripts were superceded by the printing press…
I haven’t read a ‘real’ book since I got my Sony Reader 2 & a half years ago and I love it. Even my (now obsolete) reader can cope with pictures and you can bookmark pages in it, if you need to refer to them again later.
I’m not decrying actual books at all, and no doubt there will be a place for both for a long time to come, but personally I would take my reader any day over a book. Far more convenient to carry around, especially on holiday, and the books don’t clutter up the house when read – I rarely kept real ones after reading anyway.
If I want a book, I can buy it instantly and there are plenty of legitimately free books too, including classics, I’m reading Our Mutual Friend by Dickens atm, which includes the original illustrations. For those of us getting on in age, you can increase the font size to make it easier to read too.
That’s my view anyway, from ‘the rubbish end of the market’ :)
When Caxton introduced the printing press to the UK there were very few books apart from those in the Church and they were Illuminated Manuscripts. So it is possible that the Church did express similar views because very few could read apart from those in the Church. Indeed very few Medieval Kings could read or write hence the importance of Scribes. Of course today we are rapidly moving towards reducing the number who can read or write since the total collapse of the education system in the UK. I for one would rather hold and read a quality book printed on paper. After all a Book is for Life not just for Christmas.
I don’t suppose it was revealed whether the rise was due to Amazon sales or third party sellers? Now THAT would be interesting.