In a first since 2014, Amazon omits India business from earnings call

In its Q1 earnings call on Thursday, Amazon made no mention of India, a notable departure for the e-commerce behemoth which has consistently emphasised the South Asian market's rapid growth and positive outlook.

This comes after Amazon's closure of several services including food delivery and wholesale distribution in the nation. The absence of India from the Q1 2023 quarterly earnings and investor call is the first since early 2014. Many analysts are now wondering if the American giant is reducing operations in the nation amid global restructuring.

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Over the past 10 years, Amazon has invested over $7 billion in its operations in India and fiercely competes with Flipkart, which is backed by Walmart. According to a Sanford C. Bernstein assessment, Amazon is behind Flipkart and finding it difficult to gain traction in smaller Indian cities and villages.

Walmart, a competitor on a worldwide scale, is investing significantly more money in India . It has spent nearly $2.5 billion in the nation this year. 

An earnings call is a conference call between a company's management team and investors and analysts to discuss the company's financial results for a particular period, such as a quarter or a year.

During an earnings call, the company's executives typically provide an overview of the company's financial performance, including revenue, earnings per share, and other key metrics. They may also discuss the company's strategic direction, new product developments, and other business updates.

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Investors and analysts can ask questions during the call to gain a better understanding of the company's financial performance and prospects for growth. Earnings calls are an important tool for investors and analysts to stay informed about a company's financial performance and make informed investment decisions.

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After Thursday's call, Amazon in a press release said its net sales have increased 9 per cent to $127.4 billion in the first quarter, compared with $116.4 billion in the first quarter of 2022.

Excluding the $2.4 billion unfavourable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales increased 11 per cent compared with the first quarter of 2022.

 

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