Amazon Keeps Rolling In Q3

In a third quarter highlighted by Amazon substantially expanding its hiring initiatives, and even without the results of Prime Day which occurred in October, the retailer still reported big gains in its net sales and net income in the quarter.

Net sales increased 37% to $96.1 billion in the third quarter, ended September 30, compared with $70 billion in the third quarter of 2019. Excluding the $691 million favorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales increased 36% compared with the third quarter of 2019.

Operating income increased to $6.2 billion in the third quarter, compared with operating income of $3.2 billion in the third quarter of 2019.

Net income increased to $6.3 billion in the third quarter, or $12.37 per diluted share, compared with net income of $2.1 billion, or $4.23 per diluted share, in the third quarter of 2019.

“Two years ago, we increased Amazon’s minimum wage to $15 for all full-time, part-time, temporary, and seasonal employees across the U.S. and challenged other large employers to do the same. Best Buy and Target have stepped up, and we hope other large employers will also make the jump to $15. Now would be a great time,” said Jeff Bezos, Amazon founder and CEO. “Offering jobs with industry-leading pay and great healthcare, including to entry-level and front-line employees, is even more meaningful in a time like this, and we’re proud to have created over 400,000 jobs this year alone. We’re seeing more customers than ever shopping early for their holiday gifts, which is just one of the signs that this is going to be an unprecedented holiday season. Big thank you to our employees and selling partners around the world who’ve been busy getting ready to deliver for customers this holiday.”

In the quarter, Amazon announced that it is creating hundreds of thousands of new jobs including: 100,000 new permanent jobs as part of Amazon opening 100 new operations buildings across North America; 100,000 new seasonal jobs with Amazon Air, logistics, fulfillment centers, sortation centers, and global specialty fulfillment teams in the U.S. and Canada; 10,000 corporate and technology jobs in Bellevue, WA as part of the continued expansion of Amazon’s Puget Sound headquarters; 7,000 new jobs at Tech Hubs in Dallas, Detroit, Denver, New York, Phoenix, San Diego, Toronto, and Vancouver; 10,000 new permanent jobs in the UK; and thousands of new permanent jobs in Germany.

In India, Amazon said it was expanding its operations network with 10 new fulfillment centers, five new sortation centers, nearly 200 delivery stations, and over 100,000 seasonal jobs to help meet customer demand.