Amazon CEO Andy Jassy is expressed during an opening address at AWS Re: Invent 2024, a conference organized by Amazon Web Services, at Venetian Las Vegas on December 3, 2024 in Las Vegas, Nevada.
Noah Shepherd | Getty images
Amazon CEO Andy Jassy sought to reassure investors when calling the company’s first quarter of the company on Thursday, saying that it was “optimistic” that the retail giant could emerge from the current price environment stronger than before.
“Given our really wide selection, our low price and our fast delivery, we have emerged from these uncertain eras with a more relative share of market segment than we have started and better set up for the future,” said Jassy. “I am optimistic that it could happen again.”
Jassy underlined the pandemic coche as an example of the way in which the general selection and the low prices of the company helped “customers to find what they want”, despite persistent economic uncertainty. Amazon was a large beneficiary of the coronavirus crisis, as many buyers have avoided physical stores and turned to the online retailer for essential and non -essential products. The profit of the company has skyrocketed, as well as the course of its actions.
The comments followed the report on the profits of the first quarter of Amazon, where the company beat the expectations, but its forecasts of operating profits for the current period appeared.
The company has planned an operating profit of $ 13 billion at $ 17.5 billion, compared to consensual estimates of $ 17.8 billion, according to LSEG. Amazon called “pricing and commercial policies” as one of the many factors that could have an impact on its advice.
Amazon’s financial director Brian Olsavsky said he continued to be uncertain towards President Donald Trump’s radical rates, which led the company to issue a wider range of orientation.
“We generally have a wide range, but just the general uncertainty that we see and the uncertainty of consumer demand and everything else makes us increase the range a little,” said Ossavsky. “So we will see. We think it’s an enlightened vision of Q2 at the moment.”
Amazon and some third -party sellers “advanced a certain number of articles” in anticipation of prices and to maintain low prices, said Jassy.
Up to 70% of the goods on Amazon come from China, which means that they are exposed to higher import costs. Jassy said that even if some sellers should transmit these higher costs to customers, not everyone will choose prices.
“We have a lot of sellers in many different countries and not all will continue the same tact,” said Jassy. “So, I think that when you have greater diversity as we have done, we have a better chance that some of these sellers decide that they will capture sharing and they will not pass all or part of these prices to customers.”
Jassy said the company is “down” and “focused on a fairly maniac” way of maintaining low prices for consumers, although it has recognized that the outcome of prices is difficult to predict.
“It is difficult to say what will happen with the prices right now,” he told investors. “It is difficult to say where they are going to settle and when they are going to settle.”
