Amazon reported second quarter sales that missed Wall Street expectations on Thursday, in a rare shortfall as rival retailers ramped up online sales and brick-and-mortar made a recovery when lockdown restrictions eased.
The e-commerce giant posted net quarterly sales of $113.08bn to June 30, up from $88.91bn a year earlier. Its results fell short of Wall Street analysts’ average expectation of $115.20, according to data from Refinitiv.
Forecasts for the company’s third quarter likewise missed estimates, pitched at between $106bn and $112bn, with growth of 10 to 16 per cent – as opposed to analyst’s estimates of $118.9bn, as per Refinitiv data.
Its downbeat forecast reflected changing consumer habits, with more shoppers returning to brick-and-mortar stores as lockdown eased and new hybrid purchasing models like click-and-collect taking hold.
The company’s rare miss for second quarter sales expectations was driven by competition from rival retailers like Target and Walmart that built their online pandemic business over the last twelve months.