Richardcyoung.com

The Online Home of Author and Investor, Dick Young

  • Home
  • How We Are Different
  • About Us
    • Foundation Principles
    • Contributors
  • Investing
    • You’ve Read The Last Issue of Intelligence Report, Now What?
  • Your Survival Guy
  • The Great Reset
  • COVID-19
  • My Rifles
  • Dividends and Compounding
  • Your Security
  • The Swiss Way
  • Dick Young
  • Debbie Young
  • Key West
  • Paris
  • Dick’s R&B Top 100
  • Liberty & Freedom Map
  • Your Health
  • Ron Paul
  • Bank Credit & Money
  • Dick Young’s Safe America
  • Your Survival Guy’s Super States
  • Critical Race Theory
  • NNT & Cholesterol
  • Work to Make Money/Invest to Save Money

Pandemic Spending Pushes Amazon Profits to Record

April 30, 2021 By Richard C. Young

By namtipStudio @ Shutterstock.com

The pandemic created a perfect storm for Amazon. With more people shopping, and more people working from home using cloud services, Amazon’s profits have soared. Sebastian Herrera reports for The Wall Street Journal (abridged):

Amazon. AMZN 0.37% com Inc. reported record quarterly profit as demand remained robust for its deliveries, cloud-computing and advertising businesses, capping a blockbuster earnings season for the world’s largest technology companies.

The Seattle company’s profits in the year since the pandemic started exceeded $26 billion, more than the previous three years combined. Net income from January to March more than tripled to $8.1 billion, and revenue of $108 billion far exceeded the average of analyst predictions on FactSet.

The tech giant’s success in the past year has catapulted the company to new heights, after consumers flocked to online shopping during pandemic lockdowns. Amazon’s dominant grip over e-commerce and continued expansion into new industries have strengthened its power, although the company continues to face challenges from regulators and some employees.

Amazon’s first quarter is typically slower than its preceding end-of-year results, which are aided by holiday shopping sales. Yet the company has exceeded expectations in recent quarters. It shattered sales records last year as homebound Americans turned to its delivery services. The company’s stock price rose 76% in 2020.

Amazon’s achievements have come as regulators increasingly scrutinize the company’s market power. Congress has considered changes to antitrust laws that could make it easier for the government to challenge certain business strategies and practices or force tech giants to separate certain units. Last year, a congressional panel found Amazon had amassed “monopoly power” over sellers on its site, bullied retail partners and improperly used seller data to compete with rivals.

In a response to its critics, Amazon is raising pay for many of its employees. Herrera reports elsewhere in the Journal:

Amazon. AMZN 0.37% com Inc. is raising wages for its hourly employees after a majority of workers at one of the e-commerce giant’s warehouses voted not to unionize.

The company said Wednesday that more than 500,000 of its employees would see pay increases of between 50 cents and $3 an hour. Amazon, which offers a starting wage of $15 an hour and employs roughly 950,000 people in the U.S., said the raises represented an investment of more than $1 billion.

The pay increase covers a variety of workers and schedules, but averaged over the total number of employees Amazon said would be affected, it would amount to about $40 a week per worker.

Amazon said its starting wage is still $15 an hour. The company declined to say what the average raise will be for workers and said that depends on factors such as how long an employee has been at the company.

A company spokeswoman said Amazon decided to pull forward its pay review from the fall to increase wages now. She declined to say if the raises were tied to the union election in Bessemer, Ala., but said they are related to hiring and maintaining competitiveness for workers. Amazon said it is now hiring for tens of thousands of jobs across the U.S.

Originally posted on Young’s World Money Forecast.

If you’re willing to fight for Main Street America, click here to sign up for my free weekly email.

Related Posts

  • Apple Increases Its Dividend by 7% on Record High Profits
  • Amazon Trophy Hunting
  • Obama's Spending Joyride
  • Donald Trump’s Bragging Record
  • Author
  • Recent Posts
Richard C. Young
Richard C. Young is the editor of Young's World Money Forecast, and a contributing editor to both Richardcyoung.com and Youngresearch.com.
Latest posts by Richard C. Young (see all)
  • Americans Are Abandoning ESPN and Woke Professional Sports Leagues - May 26, 2022
  • Harvard Professor Calls Homeschooling a “Threat to Society” - May 24, 2022
  • Why Does Joe Biden Put Americans Last? - May 24, 2022

Dick Young’s Must Reads

  • The Case for Individual Stocks: Now More than Ever
  • Rich States, Poor States this State is Dominant Once Again
  • The Common Ground of Democracy is Sinking Beneath Americans’ Feet
  • Democracy & Diversity: Not In the Constitution
  • Is Rutin Useful in Preventing Blood Clots?
  • The Armed American Family: Part I
  • TOP HEAVY: Focus on Big Indexing Could Cause Market Chaos
  • Work to Make Money/Invest to Save Money
  • Is It All Coming Apart in the Government’s Face?
  • U.S. Survival AR-7

Our Most Popular Posts

  • Jean-Pierre: Economy "Not Something that We Keep an Eye on Every Day"
  • Consequences of Biden Killing the Keystone Pipeline
  • Harvard Professor Calls Homeschooling a "Threat to Society"
  • Tucker Carlson Interviews My Favorite Florida Farmer
  • PRIMARIES: Trump Endorsed Candidates’ HUGE Night
  • PARTY'S OVER JOE: Republicans Crush Democrats in Local Elections
  • Are You Suffering from One of These Nutrient Deficiencies?
  • Our Daily Bread Threatened?
  • President Joe Biden’s Good Question
  • BUY THE DIPS? Can You Catch a Ginsu Knife?

Disclosure

RSS Youngresearch.com

  • If You Have a Plan, I Believe You’ll Get to Where You Want to Go
  • There Are Tech Companies “Still Dreaming of Boundless Growth”
  • Nowadays, Everyone Is Getting Some Dividend Religion
  • How Can the Fed Prevent Stagflation?
  • How to Avoid the Restrictions of a Target Date Fund
  • Now You Can Own Your Vacation and It Doesn’t Have to Be a Time Share
  • Watch Out for Your Worst Enemy
  • Big Banks Adopting Blockchain for Short-Term Trading
  • Job Market Survival Advice for Graduates and for Those YOU Love
  • BULLWHIPPED? Inventory Overhang Could Slow Growth in Certain Sectors

Americans Are Abandoning ESPN and Woke Professional Sports Leagues

If You Have a Plan, I Believe You’ll Get to Where You Want to Go

President Joe Biden’s Good Question

Georgia Proves All Politics Are Local

VIDEO: DeSantis: America “Cannot Have a Ministry of Truth”

Can America Cut It’s Spending in Half? YES! It’s Been Done Before

Copyright © 2022 | Terms & Conditions | About Us | Dick Young | Archives