Financial Roundup

27 October 2005

Global (calendar Q3)

        Third-quarter profit fell 44% to $30 million (€24.8m; £16.8m) from $54 million a year earlier. The latest results at the Seattle-based company included $21 million in income-tax expense, compared with $3 million a year earlier.
        Excluding a $40m legal settlement related to a patent lawsuit, Amazon would have reported net of $50m. Revenue rose 27% to $1.86 billion from $1.46bn, slightly exceeding analysts' estimates of $1.8bn.
        For the full year, the company forecasts sales in the range of $8.37bn to $8.67bn - up between 21% to 25% on 2004. It predicts operating income somewhere between $403m and $478m, or a 9% decline versus an 8% increase in 2004.
        North American sales, which represent the company's US and Canadian sites, rose 28% to $1.04bn, hiked by 1.6 million unit sales of the latest Harry Potter saga.
        International sales, which include Amazon's UK and German sites, advanced 26% to $817m. Excluding the year-to-year effect of foreign exchange rates, net sales growth was 28%.

    Global (calendar Q3)
  • DaimlerChrysler
        Earnings fell 21% as higher income-tax and financial expenses offset improvements at the automaker's Mercedes division and strong results from its Chrysler unit, which avoided the weak sales plaguing General Motors and Ford.
       Net profit fell to €755 million ($913.5m; £511.6m) from €951m a year earlier. Revenue rose 9.5% to €38.2 billion from €34.9bn.
        The Mercedes division, which suffered a loss earlier this year, was helped by robust sales of a redesigned sport-utility vehicle and other new models such as the A-Class compact, which is sold mainly in Europe.
       Mercedes' operating profit rose 43% to €436m as revenue increased 3% to €12.5bn.
        Operating profit at the company's US arm, Chrysler, climbed 43% to €310m, while revenue rose 12% to €12.9bn despite tough pricing competition.

    Data sourced from Wall Street Journal Online; additional content by WARC staff