Amazon has reported profits that have outstripped analysyst forecasts, as the online retailer has seen strong demand for its new e-book reader Kindle. Third-quarter net income increased 69% to $199 million from a year earlier, the company said today in a statement. Sales rose 28% to $5.45 billion. Chief Executive Officer Jeff Bezos has attracted customers by expanding overseas, offering shipping promotions and introducing new versions of the Kindle electronic reader.
Amazon also announced four acquisitions this year, including the online shoe seller Zappos, to broaden its reach.
Sales in the fourth quarter will rise to between $8.13bn and $9.13bn, Amazon said. That compares with the $8.19bn predicted by analysts. Operating income will be $300m to $425m in the period, the company said.
Third-quarter net income rose from $118 million, or 27 cents a share, a year earlier.
This month, Amazon unveiled an international version of its Kindle. The company is also trying to get its e-books onto more devices. Today, Amazon introduced a program that lets consumers read Kindle books on personal computers.
“Kindle has become the No. 1 best-selling item by both unit sales and dollars — not just in our electronics store but across all product categories on Amazon,” Bezos said in the statement.
Amazon has about 60pc of the e-reader market in the US, according to Forrester Research.l Sony’s e- reader ranks second with 35%.