Jul 27, 2018

Amazon hits record-high second quarter profitability

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Amazon's profit reached new heights for the second quarter, reaching $2.53 billion, the Wall Street Journal's Laura Stevens reports.

The big picture: That still doesn't beat out other major tech giants like Microsoft and Alphabet, per Stevens, but it is the third quarter in a row that showed profits of more than $1 billion.

Amazon's finance chief, Brian Olsavsky, "credited the profitability to...fiscal discipline and growth in the services business," per the WSJ.

  • The e-commerce giant is expected to bring in "roughly half of ever dollar spent online in the U.S."
  • Stevens writes: "No longer is Amazon known for suffering losses or producing razor-thin income by plowing every dollar it makes back into investments."

Yes, but: Quarterly revenue wasn't as promising. The WSJ reports that it came a little below estimates at $52,89 billion, and it's expected to be below estimates again in the third quarter.

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Stephanie Grisham out as White House press secretary

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White House press secretary Stephanie Grisham is departing her post to return to the East Wing as First Lady Melania Trump's chief of staff, the White House announced Tuesday. The news was first reported by CNN.

Why it matters: Grisham will leave after nine months without ever having held a formal press briefing. Her departure follows the arrival of new White House chief of staff Mark Meadows, who has a chance to overhaul a communications shop that's kept a low profile since President Trump ended the tradition of daily press secretary briefings.

WeWork board sues SoftBank

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SoftBank was sued Tuesday morning by a special committee of WeWork's board of directors for alleged breaches of contract and fiduciary duty related to SoftBank's decision to cancel a $3 billion tender offer for WeWork shares.

Why it matters: SoftBank is viewed by many in the private markets as an unfaithful partner. If this reaches trial, that reputation could either become widely cemented or reversed.