Here's what to remove from Amazon's Q3 earnings

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I a sign of cultivation concerns as rivals led by Walmart may begin to steal some of the Amazon thunder, Amazon shares slumped after hours on Thursday after investors ignored the Seattle giant is much better than expected third quarter and focused in the place to slow down the growth of e-commerce and disappointing quarterly earnings and sales outlook.

The concern was clear at a conference call Amazon hosted by analysts Thursday night when more questions were centered on what led to its slow growth in the US and Abroad, the economic impact of Amazon's last move to increases the US minimum wage to $ 15 an hour, and its "Omnichannel" is planning at a time when Walmart, Targe t and other brick and mortar dealers a re doubles on their e-commerce expenses and capitalizes on their much larger physical merchant fleets than Amazon's Whole Foods for curbside online grocery acquisition and other services to attract customers.

Amazon Chief Financial Officer Brian Olsavsky tried to alleviate some of these concerns and said that some deficiencies in Wall Street expectations may have arisen from things that include negative currency translation effect an accounting change in Prime membership subscription revenue and the time for the Diwali festival in its main India market this year compared to last year.

"Much of our revenues come in mid November and late December," he said, referring to the holiday quarter's prospects. "It's always difficult (to forecast), but our stock is very clean. We are very bullish in the fourth quarter."

Time will tell if Amazon can deliver this quarter. But one thing it still has in its favor despite concerns about its slow growth rate: Amazon still delivers a significant leadership over its rivals.

For example, while Walmart's share of the US e-commerce market increased to 4.3% in 2017, from 2.9% in 2012, Amazon's share increased to 46%, from 24%, Euromonitor data has shown. Traffic, total online visits to Amazon during the year ended August were more than four times that to Walmart.com, according to Hitwise.

Here are three other main points to remove from Amazon's results.

Amazon is increasingly an adult about its costs: Once known for its expenses at the expense of profit, Amazon's profits increased to $ 2.9 billion, or $ 5.75 per share – almost double $ 3.11 per share Wall Street Expected – & nbsp; from $ 256 million, or 52 cents per share, a year earlier. While the growth of devices such as AWS cloud help remains a key profit driver, and what Olsavsky described as "cost improvement" also played a key role.

Amazon's main strength increased, for example. 13% in the first nine months of this year, compared with growth rates of at least 38% over the past two years. The square reception for the center also grew in about half of the previous two years, while the use of robots at fulfillment centers has yielded a good return on capital. Olsavsky said.

Worldwide shipping costs in Q3 increased by 22% to $ 6.6 billion – greater than Amazon made in profits, but the increase was the smallest in at least six quarters.

"We have good cost performance in a number of areas," economics chief said.

Yes, the advertising service will steal more of the limelight in the future: While Amason's largest online store sales of online sales sold outside the currency effect, & nbsp; only 11%, the smallest six-quarter profit, its "other" device, which represents mainly its display, sponsored product and other advertising revenue, more than doubled, the fastest growing segment. It has also exceeded 46% growth rate in Amazon's surplus jewel – AWS cloud help.

Advertising services growth for Amazon, how many consumers begin their product search these days, have just begun. Revenues "others", including advertising, amounted to just 2.5 billion dollars, compared to AWS $ 6.7 billion and Amazon's online store of $ 29 billion.

& nbsp; "We look very strong adoption" In our advertising service from suppliers, authors and third party sellers, Olsavsky said. "We continue to invent the product and tooling page."

But as it sees a growing market share from the industry from Facebook and Google, an area said & nbsp; Thursday that it has no plan for: Free Ad-supported Prime Videos.

Amazon's Turn to Play Catchup on Brick and Mortar? & nbsp; As studies after studies have shown that consumers want to trade bricks and have the convenience to look and return products in physical places, Amazone's brick and mortar expansion is closely monitored. It is not to mention that physical stores have the benefit of helping dealers reduce the costly last mileage and get goods to consumers faster.

Amazon last quarter expanded Whole Foods retail store to 60 cities and expanded grocery store to 10, but still a record of what Walmart has . It also added five additional Amazon Go outlets in the quarter to a total of six and opened a 4 star Amazon store to get a cured selection in New York's SoHo so people can see and try some products in person. Its chain of physical bookstores has expanded to 18. A common feature among many of these stores: the Echo and Fire TV line of Alexa -smart voice assistant-driven devices.

Thanks to August 2017 the purchase of whole foods, physical store sales last quarter more than tripled to $ 4.2 billion. Amazon's physical footprints also exist in other forms, including co-operation with Kohl to process their returns.

The Amazon "is going to experiment with several ways to reach customers where they are." Olsavsky [n/a said Thursday. "There will be a lot of omnichannel overlap."

"

In a sign of growing concerns like rivals led by Walmart may begin to steal some of the Amazon thunder, black Amazon shares after times on Thursday after investors ignored the Seattle giant much better than expected third quarter results, focusing instead on slowing down e-commerce growth and disappointing quarterly results and sales outlook.

The concern was clear at a conference call, Amazon hosted analysts Thursday night when more questions were centered on what caused it to wake up growth both in the United States and abroad, the effect of Amazon's last move to increase the US minimum wage to $ 15 an hour and its "omnichannel" plans at a time when Walmart, Target and other brick and mortar dealers are doubling down on e-commerce spending are and capitalize on their much larger physical merchant fleets than Amazon's Whole Foods for curbside online store and other services to attract customers.

Amazon Economy Director Brian Olsavsky tried to alleviate some of these concerns and said some shortcomings in Wall Street expectations could have been from things that include negative currency translation effects, an accounting change in Prime membership subscription revenues and the time of the Diwali festival in Norway's most important market this year compared to last year.

"Much of our revenues come in mid November and late December, he says, referring to the holiday quarter's prospects." It's always difficult (to forecast), but our warehouse is very clean. We are very bullish in the fourth quarter. "

Time will tell if Amazon can deliver this quarter. But one thing it still has in its favor despite concerns about its slow growth rate: Amazon still delivers a significant leadership over its rivals.

For example, while Walmart's share of the US e-commerce market rose to 4.3% in 2017, from 2.9% in 2012, Amazon's share increased to 46%, from 24%, Euromonitor data has shown. Traffic, Total Online Visits to Amazon in the Year which ended in August, it was more than four times that of Walmart.com, according to Hitwise.

Here are three other important points to remove from Amazon's results.

Amazon is increasingly an adult about its Costs: Once known for its expenses at the expense of profits, Amazon's profits increased to $ 2.9 billion, or $ 5.75 per share – almost double the $ 3.11 share Wall Street expected – from $ 256 million, or 52 cents per share, a year earlier. While the growth of one As AWS cloud help remains a key profit driver, Olsavsky was described as "cost improvement" also a key role.

Amazon's main strength increased, for example. 13% in the first nine months of this year, compared with growth of at least 38% over the last two years. The square reception for the center also grew in about half of the previous two years, while the use of robots at fulfillment centers has provided a good return on capital.

Olsavsky said.

Worldwide shipping costs in Q3 increased by 22% to $ 6.6 billion – greater than what Amazon did in profits, but the increase was the smallest in at least six quarters.

"We have good cost performance in a number of areas," the finance boss said.

Yes, the advertising service will steal more of the spotlight in the future: While Amazon's largest online retail sales store, excluding currency effects, only increased 11%, the smallest six-quarter profit, its "second" which mainly represents its display, sponsored product and other advertising revenue, more than doubled, the fastest growing segment. It has also exceeded 46% growth rate in Amazon's surplus jewel – AWS cloud help.

Advertising services growth for Amazon, how many consumers begin their product search these days, have just begun. Revenue "other" segments, including advertising, amounted to just 2.5 billion dollars, compared to AWS $ 6.7 billion and Amazon's online store of $ 29 billion.

"We look very strong adoption" in our advertising service from suppliers, authors and third party sellers, said Olsavsky. "We continue to find out on the product and tooling page."

But when there is a growing ad market share away from Facebook and Google industry giants, Amazon said Thursday there's no plan for: free ad

Amazon's Turn to Play Catchup on Brick and Mortar ? As studies after studies have shown consumers will trade bricks and have the convenience to see and return products In physical places, Amazon's brick-and-mortar expansion is closely monitored. It is not to mention that physical stores have the benefit of helping dealers reduce the costly last mileage and get goods to consumers faster.

Amazon last quarter expanded grocery store on Whole Foods to 60 cities and expanded grocery store to 10, but still a slice of what Walmart has. It also added five additional Amazon Go outlets in the quarter to a total of six and opened a 4 star Amazon store to get a cured selection in New York's SoHo so people can see and try some products in person. Its chain of physical bookstores has expanded to 18. A common feature among many of these stores: the Echo and Fire TV line of Alexa smart-voice assistant-powered devices.

Thanks to the purchase of whole foods from August 2017, physical store sales last quarter more than tripled to $ 4.2 billion. Amazon's physical footprints also exist in other forms, including co-operation with Kohl to process their returns.

The Amazon "is going to experiment with several ways to reach customers where they may be." Olsavsky said Thursday. "There will be a lot of omnichannel overlap."