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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

Index Last Change % Change
Dow 18,454.30 -48.69 -0.26%
Nasdaq 5,222.99 -9.34 -0.18%
S&P 500 2,176.12 -4.26 -0.20%
Treasuries 1.57 0.00 0.26%
Data as of 5:26pm ET
Company Price Change % Change
Bank of America Corp... 16.19 0.35 2.21%
EMC Corp 28.99 0.32 1.12%
Chesapeake Energy Co... 6.51 0.07 1.09%
Freeport-McMoRan Inc... 10.56 -0.42 -3.83%
Ford Motor Co 12.55 0.08 0.64%
Data as of 4:02pm ET
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