Amazon’s p store fire store sales fell despite a surge in the first quarter

Physics store sales on the Amazon fell by double digits in the first quarter of fiscal 2021, with retail overall sales up more than 40% and adjusted earnings per share 65% higher than Wall Street forecasts.

For the quarter ended March 31, net sales again reached $ 100 billion, totaling $ 108.52 billion, up 43.8% to $ 75.45 billion, according to Seattle-based Amazon since the market closed yesterday. Excluding the positive impact of $ 2.1 billion from foreign exchange rate changes, sales grew by 41% year-on-year, the company said.

Online sales rose 44% to $ 52.9 billion in the first quarter from $ 36.65 billion a year earlier, up 41% excluding foreign exchange. Consecutively, online sales fell 20.4% from the fourth quarter, including the holiday sales period.

Amazon’s store fire store sales, which cover the wholesale food market, fell 15.5% in the first quarter of fiscal year 2021 (no foreign exchange impact) to $ 3.92 billion from $ 4.64 billion in the 2020 quarter. This was followed by an annual decline of over 8% in the fourth quarter. Brick and motor shop sales also fell 2.5% for the fourth consecutive first quarter. A year ago, when COVID-19 was triggered by the epidemic, the results were the most profitable in sales of groceries and other essentials.

Amazon

Amazon CFO Brian Olsawki said groceries were ‘a big revelation’ in the post-epidemic period.

In fiscal year 2020, Amazon recorded a three-quarters physical fire store sales decline in the first four quarters, with profits of more than 8% year-over-year, down 13%, 10% and 7% (excluding foreign exchange). The second, third and fourth quarters, respectively.

Jefferies analyst Brent Dill says brick and mortar sales in Amazon’s first quarter of 2021 are one of the few downsides. In a research note late Thursday, he wrote: “Physics stores continue to struggle, falling 16% year-on-year to 9% below consensus.”

Amazon’s p store fireplace sales mainly come from its full food market segment and exclude online orders such as picking up through Prime Now Delivery and Whole Foods stores through its brick and mortar brands. Currently, Amazon has 503 whole food markets, 12 Amazon new grocery stores, two Amazon Go grocery stores, 22 Amazon Go convenience stores, 24 Amazon bookstores, 30 Amazon 4-star outlets and seven Amazon Pop-. There are up places.

Earlier this month, Amazon closed four Amazon Go locations, including two homes in Chicago (Illinois Center and W. Adams & S. Clark), a store in Manhattan (300 Park Away) and a store in San Francisco. San Francisco Center). The stores closed on April 2, and partners were offered new jobs with Amazon, the company said.

“Like other retailers, we regularly evaluate our Amazon Go store locations and as a result decide to close four Amazon Go stores permanently,” an Amazon spokesman said in an email Friday. “We have offered all affected employees in these stores new opportunities within Amazon, including other nearby Amazon Go stores, and are investing in our vision for Amazon Co. as we look forward to opening more spaces over time.”

In a conference call with analysts late on Thursday, Amazon executives said grocery sales were on the rise, and the company has confirmed early results from its new Amazon supermarkets. Most recently, Amazon opened a 40,000-square-foot Amazon Fresh in Long Beach, California. Redmond, Wash.

“Grocery is a great expression in the post-epidemic period. I think people really value the ability to have a home birth, and we have seen those numbers significantly increase pre- and post-mortem. We’ve worked very hard to increase our capacity during that time, “said Brian Olsovsky, Amazon’s chief financial officer. “In the United States, we offer a full range of our whole food stores and allow for more expansion in whole food stores. Amazon Fresh turned out to be a free Prime benefit, you know, in late 2019. Customers actually accepted it and we continue to see strong growth.”

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Amazon’s Just Walk Out ‘Skip the Checkout Line’ technology is being subjected to a potential test for Amazon’s new supermarkets.

Last month, Bloomberg announced that at least 28 new Amazon stores were operating “from Philadelphia to the Sacramento suburbs.” So far, Amazon has only confirmed four new U.S. locations, two in New Jersey and one in Washington state. In addition, Amazon is testing the Just Walk Out technology – mainly used in its compact Amazon Co Convenience stores – on Amazon Fresh in the home’s Naperville, but it is not available to the general public at the store.

“I think in new stores, it’s a bit of a start [to assess performance]Olsowski said in response to a researcher’s question. “We hope the Just Walk Out technology will be a boon to customers, and we’re very excited to be at work. But it’s still early, one day.”

David Fildes, director of investor relations at Amazon, said the Amazon Fresh concept has been well received by shoppers.

“We have about 12 new stores that are now open, and have had a few additional stores in Southern California, Illinois and New Jersey, and then with us in the Seattle area.

On the revenue front, Amazon reported net income of $ 8.1 billion or $ 15.79 per diluted share in the first quarter of fiscal 2021, up from $ 2.54 billion a year ago or $ 5.01 per diluted share.

Analysts, on average, have adjusted the EPS to 5 9.54, with the rating being as low as $ 6.41 to $ 12.00.

In its first quarter, Amazon noted that it accelerated its annual fall pay rating for its U.S. customer fulfillment, distribution, package deployment and special executive teams. Plans call for more than 500,000 employees to receive an increase of 50 cents to $ 3 hours from mid-June to mid-May, indicating an increase in wages of more than $ 1 billion.

Darcy Henry, vice president of global consumer experience and technology at Amazon, announced the upcoming pay rise on Wednesday.

“This is already $ 15 an hour leading pay in the industry and more than $ 2.5 billion invested last year in additional bonuses and benefits for leading teams,” Henry said in a statement. “These jobs come with a variety of benefits, such as medical, dental and vision coverage; parental leave, ways to save for the future; and career advancement opportunities – all located in the best workplaces in the world in a safe and inclusive environment.

The other teams continue with their regular annual compensation review plans, the rest of which will occur in 2021. ”

Sophia Harrison

Part time worker

I'm Sophia Harrison working as a part-time staff at the Costco since the past year until I become as an author at the iron blade, hope I can use my experiences with the supermarkets here.

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