Internet companies Alphabet and Apple presented disappointing business figures on Thursday. According to its own statements, the Google parent company Alphabet recorded sales of 76 billion dollars (almost 70 billion euros) and a profit of 13.6 billion dollars in the last quarter of 2022. Both values are lower than they were in the same period of 2021. In after-hours trading, the group's shares fell by more than six percent.
Apple's revenue, on the other hand, fell by more than five percent compared to the same period last year. According to the business figures presented, they amounted to $117.1 billion between October and December 2022. Net income fell 13 percent to $30 billion. Both values were below the expectations of stock exchange traders. The reason was, among other things, delivery problems for iPhones produced in China.
At Amazon, on the other hand, business is going better than expected. The online giant's worst fears have not materialized at the end of the year. After the recent wave of layoffs, CEO Jassy declared cost control to be the top priority. Despite fears of inflation and recession, the world's largest online retailer made more sales than expected in the Christmas quarter.
In the three months to the end of December, revenue increased by nine percent year-on-year to $149.2 billion (136.7 billion euros), as the group announced on Thursday after the US stock market closed. Experts had expected significantly lower growth. However, higher spending pushed operating profit down from $3.5 billion to $2.7 billion.
Amazon had to spend a lot of money because of austerity measures such as the closure of unprofitable shops and a large wave of layoffs. What is intended to reduce costs in the long term initially caused some. According to Chief Financial Officer Brian Olsavsky, severance payments had a negative impact of $640 million.
After a hiring offensive due to the order boom at the beginning of the pandemic, Amazon again significantly reduced its number of employees in view of the difficult economic situation. At the beginning of January, CEO Andy Jassy announced that more than 18,000 jobs would be cut.
Amazon's outlook for the current quarter disappointed with a sales forecast of $121 billion to $126 billion and an expected operating profit of between zero and four billion. In addition, the important cloud business has not recently grown as strongly as hoped.
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