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Amazon Delivers Softer-Than-Expected Earnings; Stock Falls After Hours

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Amazon reported second-quarter results that were a bit softer than Wall Street had expected, sending shares down more than 2% in after-hours trading. The company said earnings came to $5.22 a share…

reported second-quarter results that were a bit softer than Wall Street had expected, sending shares down more than 2% in after-hours trading.

A 21% rise in expenses in the quarter, in part due to the push to roll out one-day delivery, dented profits. Regulatory scrutiny has kicked in for Amazon and other large tech firms in a serious way, after a decade or two of relative laissez-faire existence. The Department of Justice said this week it has launched an investigation into the business practices of tech companies to determine if they are anti-competitive. Facebook paid $5 billion and agreed to stricter controls in a settlement with the Federal Trade Commission.

 

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