Technology stocks $AMZN, $GOOG, $MSFT, and $INTC a combined market cap of nearly $2 trillion and represent 25% of the Nasdaq 100, beat the street expectations.
Technology stocks $AMZN, $GOOG, $MSFT, and $INTC with a combined market cap of nearly $2 trillion and represent 25% of the Nasdaq 100, beat the street expectations …..bigly.
Amazon ($AMZN): Q3 EPS of $0.52 beats by $0.49.
Revenue of $43.74B (+33.7% Y/Y) beats by $1.6B.
35% sales growth in North America
29% sales growth internationally
AWS sales rose 42% Y/Y to $4.58B.
Operating income fell 40% from last year to $347M vs. $178M expected.
Whole Foods contributed $21M to the OI tally.
Operating cash flow was up 14% Y/Y to $17.1B.
Amazon expects Q4 revenue of $56.0B to $60.5B vs. $58.75B consensus and Q4 operating income between $300M and $1.65B.
Earnings Report: Amazon.com Announces Third Quarter Sales up 34% to $43.7 Billion
Also: Amazon gains wholesale pharmacy licenses in multiple states
$AMZN up 7% After Hours
Alphabet ($GOOG): Q3 EPS of $9.57 beats by $1.24.
Revenue of $27.8B (+23.8% Y/Y) beats by $600M.
Advertising revenue was up nearly 23% on the year to $24.1B.
Ad sales represented about 87% of total sales, flat with Q2.
Aggregate paid clicks were up 47% on the year and 6% sequentially.
Aggregate cost-per-click fell 18% on the year but rose 1% on the quarter.
Total TAC was $5.5B, above the $5.24B estimate and up 32% on the year.
Other revenue was up 40% to $3.4B, in-line with analyst estimates.
Other bets rose 53% to $302M. Analysts had predicted $267M. The segment operating loss went from $861M last year to $812M this quarter.
Earnings Report: Alphabet Announces Third Quarter 2017 Results (.PDF)
Also: Alphabet’s self-driving car unit Waymo will launch a test program on the snowy roads of Michigan this winter.
$GOOG up 3% After Hours
Microsoft ($MSFT): Q1 EPS of $0.84 beats by $0.12.
Revenue of $24.54B (+11.9% Y/Y) beats by $980M.
Microsoft topped its goal of passing $20B in commercial cloud ARR this fiscal year.
Intelligent Cloud: $6.9B in revenue (+13% in constant currency). Server products and cloud services were up 17% due to an Azure revenue growth of 89%.
Productivity and Business Processes: Revenue was up 28% on the year in constant currency to $8.2B. Office commercial products and cloud services revenue grew 10% driven by Office 365 commercial sales, which were up 42%. Dynamics products and cloud services sales were up 13% due to a 69% growth in Dynamics 365. LinkedIn contributed $1.1B.
More Personal Computing: Revenue was $9.4B and down 1% in constant currency. Windows OEM was up 4%, which is expected in the current PC market. Windows commercial products and cloud services up 6% due to annuity revenue growth. Surface revenue was up 11% thanks to the new Surface Laptop and Gaming was flat on the year since the new Xbox didn’t report in this quarter. The company could still drop some Xbox One X details in the conference call.
Earnings Report: Microsoft Cloud Continues to Grow, Powers First Quarter Results
Also: GE, Microsoft to announce deeper industrial internet partnership
$MSFT up 4% After Hours
Intel ($INTC): Q3 EPS of $1.01 beats by $0.21.
Revenue of $16.15B (+2.3% Y/Y) beats by $420M.
Third-quarter revenue was $16.1 billion. Excluding McAfee, revenue was up 6 percent year-over-year and datacentric* businesses grew 15 percent year-over-year. The data center, Internet of Things and memory businesses all achieved record revenue.
Record operating income and record earnings per share (EPS), driven by strong data-centric growth, expanding operating margins and gains on the sale of equity investments.
Raised full-year business outlook for the third consecutive quarter. Full-year revenue outlook raised by $700 million to $62 billion; full-year GAAP EPS outlook raised by $0.27 to $2.93 and non-GAAP EPS by $0.25 to
The company raises its FY17 revenue outlook by $700 to $62B (consensus: $61.39B) and raises EPS by $0.25 to $3.25 (consensus: $3.01).
Earnings Report: Intel Reports Third-Quarter 2017 Financial Results (.PDF)
Also: Ambarella shares up on swirling rumors about a takeover by Intel for $73 per share.
$INTC up 2% After Hours