Amazon shares jump after earnings surprise

By Blake Ellis, contributing writer


NEW YORK (CNNMoney.com) -- Shares of Amazon.com jumped in after-hours trading Thursday after the online retailer easily topped Wall Street's expectations during the fourth-quarter holiday shopping season.

Net income for the three months ending Dec. 31 jumped 71% to $384 million, or 85 cents per share. Revenue rose 42% to $9.5 billion from a year ago.

Analysts polled by Thomson Reuters were looking for earnings of 72 cents a share on sales of $9 billion.

As part of the earnings release, Amazon CEO Jeff Bezos highlighted the success of his company's Kindle electronic reader. "Millions of people now own Kindles," he said in a prepared statement. "We sell 6 Kindle books for every 10 physical books."

Looking ahead, Amazon forecast first-quarter sales between $6.45 billion and $7 billion, which is well above analysts' expectations of $6.36 billion.

Amazon.com (AMZN, Fortune 500) shares rose 2% after the closing bell after adding $3.28 to end at $126.03 in regular trade. To top of page

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Index Last Change % Change
Dow 17,119.32 67.59 0.40%
Nasdaq 4,458.07 33.37 0.75%
S&P 500 1,984.54 10.91 0.55%
Treasuries 2.49 0.01 0.44%
Data as of 11:28am ET
Company Price Change % Change
Bank of America Corp... 15.58 0.05 0.35%
Facebook Inc 69.23 -0.17 -0.24%
Apple Inc 94.28 0.34 0.36%
Microsoft Corp 44.86 0.02 0.06%
Intel Corp 34.53 0.47 1.38%
Data as of 11:13am ET

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