Amazon Stock Tanks On Massive Loss, Disappointing Forecast



SAN FRANCISCO (Reuters) - Inc's

Some analysts fear that the U.S. holiday shopping season, the biggest quarter for most retailers, might turn out weaker than anticipated. The company projected on Thursday net sales of between $27.3 billion and $30.3 billion for the holiday quarter, lagging the $30.89 billion analysts had expected on average.

After an unusually busy first half of the year that saw the online retailer spend on developing everything from mobile phones and Hollywood-style production to grocery deliveries, investors were ready to see it curtail its ambitions somewhat and start delivering sustainable profits.

Instead, its third-quarter net loss widened to $437 million or 95 cents per share in the third quarter, from $41 million a 9 cents a year ago. That came in larger than forecasts for a loss of 74 cents a share.

Revenue also fell short of expectations, from a company known for consistently chalking up robust top-line growth. Net sales rose to $20.58 billion, but that lagged forecasts for $20.84 billion, according to Thomson Reuters I/B/E/S.

Shares in the company slid more than 9 percent to $284 in extended trade.

(Reporting by Deepa Seetharaman; Editing by Dave Gregorio and Cynthia Osterman)

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