SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 229.55+0.2%Dec 5 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Jing Qian who wrote (51158)4/18/1999 2:31:00 PM
From: Glenn D. Rudolph  Read Replies (1) of 164684
 
If AMZN doesn't report a profit, and immediately spend the "profit" from books sold to
do other things. No body can say for sure that they have or not have a profit. Because I
don't think we even have a correct definition of profit here.

Jing,

Profit is gross sales-cost of goods sold-selling and administrative expense. If that net number is a positive, then the equity of the firm will increase unless a divident is being paid. There is no other definiton of profit. Book value of Amazon decreases each quarter because thay have losses. This means the net figure is negative they do show it on their income/(loss) statements.

I do not want to hear double talk on what is a profit and what is not. If you want to state that Amazon is spending more to increase revenue, that is fine. Stating there is profit and they are losing the profit due to spending more is incorrect. There are a lot of profitable firms that are growing quickly enough that debt grows and no dividend is paid. However, the book value is increasing since the earnings are held in retained earnings. Please show me one penney of retained earnings on Amazon's balance sheets. In fact, tangible book value is negative. The cause is operating losses.

I can't imagine anyone doubting this since it is stated in their reports.

Glenn
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News