Will Amazon Keep Growing?
Amazon (NASDAQ:AMZN) showed its strength in the last quarter with heightened sales and a widened operating margin in North America. While the current quarter isn’t expected to be is bright, Amazon seems to be shaping up for a strong future in e-commerce.
While Amazon’s fourth-quarter sales fell below analysts’ average projection of $22.2 billion, reaching a close $21.3 billion — net income also fell to $97 million from $177 million a year earlier — Amazon still managed to impress investors with an operating margin in North America that climbed from 2.9 percent a year ago to 5 percent in the October through December period.
According to Amazon CEO Jeff Bezos, the increased operating margin is a sign the company’s investments are paying off. Amazon has been putting significant amounts of money into fulfillment, with an increase of 36 percent to $2.26 billion going toward fulfillment last quarter. The company also opened 20 new shipment hubs last year, thereby increasing its ability to service and maintain customers…