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Amazon Tumbles as Profit Declines for First Time in Two Years

  • Earnings drop year-over-year for first time since early 2017
  • E-commerce giant’s holiday sales forecast also comes up short
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The Takeaways From Amazon's First Quarterly Profit Decline in Two Years
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Amazon.com Inc.’s effort to get packages from warehouse to doorstep in a single day helped push the retail giant to its first year-over-year quarterly profit decline since early 2017.

The spending binge isn’t over. Amazon Chief Financial Officer Brian Olsavsky said Thursday that the costs of the company’s one-day delivery push will total some $1.5 billion during the holiday quarter. Amazon’s projections for operating income and sales in the period fell short of analysts’ estimates, and shares slumped as much as 9.1% in extended trading.