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Amazon Results Easily Top Expectations; Shares Rise

Amazon.comreported sales and profit that topped what analysts were expecting Tuesday, sending the shares higher in extended trading.

Amazon.com's fulfillment center in Fernley, Nevada.
Ben Margot
Amazon.com's fulfillment center in Fernley, Nevada.

The online retailer reported second-quarter earnings of 41 cents a share. Amazon earned 45 cents a share during the same period a year earlier.

Sales for the most recent quarter rose to $9.91 billion, up from $6.57 billion last year.

The company was expected to report earnings of 35 cents a share on revenue of $9.38 billion, according to a consensus estimate from Thomson Reuters.

Shares of Amazon jumped almost five percent in extended trading Tuesday. Get after-hour quotes for Amazon.com.

The stock closed at $214.18 in the regular New York Stock Exchange session. Volume exceeded 6.7 million before the closing bell.

Amazon shares have gained almost 17 percent since its last earnings report in mid-April.

"Low prices, expanding selection, fast delivery and innovation are driving the fastest growth we've seen in over a decade," said Jeff Bezos, founder and CEO of Amazon.com, in a prepared statement.

"Kindle 3G with Special Offers has quickly become our bestselling Kindle at only $139," he continued. "Customers love the convenience of a 3G reader — no hunting for or paying for Wi-Fi hotspots. Amazon picks up the tab for the 3G wireless, so you have no monthly payments or annual contracts."