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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 20,569.15 18.17 0.09%
Nasdaq 5,834.28 -6.09 -0.10%
S&P 500 2,342.72 1.13 0.05%
Treasuries 2.38 0.01 0.21%
Data as of 10:20am ET
Company Price Change % Change
Bank of America Corp... 23.20 0.17 0.76%
Ford Motor Co 11.57 0.11 0.96%
Advanced Micro Devic... 13.77 0.07 0.51%
Chesapeake Energy Co... 5.23 0.07 1.35%
Micron Technology In... 28.97 0.21 0.73%
Data as of 10:05am ET
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