FORTUNE -- Amazon (AMZN) has long focused on heavy investments into expansion, even at the expense of its bottom line, and the company's latest quarter proved no different.
For the e-commerce giant's third quarter 2013, it reported a loss of 9 cents per share on sales of $17.09 billion. While the loss was expected, the 24% jump in revenues actually surpassed the Street's $16.77 billion estimate. Company stock surged 7% in after-hours trading.
As in previous recent quarters, CFO Tom Szkutak attributed the loss to the company's ongoing expansion. Amazon's increasing network of roughly 100 fulfillment centers continues to take its toll in the short-term, but factors also include growing out the company's Amazon Web Services infrastructure and the development of new Kindle hardware, which began rolling out this fall.
In the company's earnings release, Jeff Bezos highlighted Amazon's recent flurry of activity, including new Kindles, the addition of 8 million more square feet of fulfillment center capacity, and the deployment of 1,382 Kiva robots in three fulfillment centers to increase efficiency. Amazon also announced new warehouses, each with 1 million square feet, in Florida and Baltimore, as well as the hiring and training of 70,000 new seasonal workers in preparation for the holiday season, when the company traditionally experiences huge sales.
Szkutak also addressed the company's recent controversial decision to increase its free shipping minimum order threshold from $25 to $35. "We've had that for over a decade," Szkutak remarked. "Over that period, both fuel prices and transportation. We certainly didn't change that threshold until now."
Barnes & Noble's tablet experiment is over. Here are the features others should steal (or already have).
FORTUNE -- Unfortunately for Barnes & Noble, its Nook readers and tablets just haven't been the home run the struggling bookseller had hoped, a hard truth that became clear when the company reported a $118.6 million net loss for its fiscal fourth quarter this week.
"It's no secret the HD and HD+ didn't quite meet MOREJP Mangalindan, Writer - Jun 26, 2013 2:32 PM ET
The Kindle-as-service model means that Google and Apple should watch out
By Don Sears, contributor
Last week, Amazon brought it loud and proud.
With a full slew of new tablets, e-readers and consumer-minded features, Amazon (AMZN) is in full WWE-style smack-down mode. The online commerce overlords are screaming for your wallet, pointing directly at the competition and establishing another foothold in a young market.
At its latest product announcements in Santa Monica last MORESep 12, 2012 12:43 PM ET
Meet Darpa's new boss; Facebook's iOS apps get major updates.
Facebook for iOS goes native, waves goodbye to HTML5 [THE VERGE]
In building a native Facebook app for iOS, the company looked at improving three key places, "the app's largest pain points" all relating to speed: launching the app, scrolling through the News Feed, and tapping photos inside the News Feed. "We're twice as fast in all these areas," Johnson
D arpa gets a MOREJP Mangalindan, Writer - Aug 24, 2012 5:30 AM ET
How Amazon could tackle smartphones with one of its own; what it's like to live at a 'hacker hostel'
Amazon's said to plan smartphone to vie with Apple [BLOOMBERG]
Foxconn International Holdings Ltd., the Chinese mobile-phone maker, is working with Amazon on the device, said one of the people, who asked not to be identified because the plans are private. Amazon is seeking to complement the smartphone strategy by acquiring patents that MOREJP Mangalindan, Writer - Jul 6, 2012 9:45 AM ET
The e-reader may be getting ready to take a permanent backseat to the sexier tablet.
FORTUNE -- Are people tiring of black-and-white e-readers? It seems that way.
According to a recent report from Pacific Crest Securities, a Portland, Oregon-based investment bank, orders for components used in Amazon's standard e-readers have fallen 75% from the bank's previous expectations.
We still expect new multi-touch, black-and-white devices to launch in Q3, but we are cutting our MOREJP Mangalindan, Writer - Jun 26, 2012 3:16 PM ET
The latest ChangeWave poll finds Samsung and Amazon stuck in single digits
FORTUNE -- When ChangeWave polled 1,400 early adopter types in March, 86% of those planning to buy a tablet had their eye on Apple's (AAPL) iPad.
The numbers are somewhat lower in a follow-up survey posted Tuesday under the headline Who Poses the Biggest Threat to Apple's iPad?
Still, the answer seems to be none of the above. In a poll MOREPhilip Elmer-DeWitt - Jun 5, 2012 7:20 AM ET
Investors panicked in the third quarter when net income dropped as the company spent lavishly on investments in fulfillment and the Kindle. History is not repeating itself.
FORTUNE -- Can Amazon, which has long relied on low profit margins, prove its long-term strategy will pay off? If its latest quarterly earnings are any indication, there's certainly a good deal of reason to think so.
In the first quarter, revenues were $13.2 billion MOREJP Mangalindan, Writer - Apr 27, 2012 11:04 AM ET
Barnes & Noble is adding a brilliant light to its e-reader. Does it work? And, is it enough to goose sales?
FORTUNE -- Although black-and-white e-readers are generally lighter, cheaper, and snappier than they used to be, they still don't excel in low light. That's an area where tablets and their brightly lit color screens have a clear advantage. With its new $139 Nook, arriving this week, Barnes and Noble (BKS) MOREJP Mangalindan, Writer - Apr 24, 2012 11:11 AM ET
Fortune's curated selection of tech stories from the weekend. Sign up to get the round-up delivered to you each and every day.
* Sony (SNE) hasn't had a hit product in years, and expects to lose $6.4 billion this year alone. The New York Times offers an excellent look at Japanese giant's fall from grace. (The New York Times)
* Google (GOOG) co-founder Sergey Brin believes the Internet's underlying principles -- openness and universal access -- are being threatened MOREJP Mangalindan, Writer - Apr 16, 2012 11:16 AM ET
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