Bookseller takes on retail and tech heavyweights
Amazon’s startling financial performance is allowing it to become an Alien Invader in even more markets. The former bookseller is dominating across multiple marketplaces, including online retail and cloud services. Lest you think this is hyperbole, consider the numbers:
Amazon, without AWS, will grow revenue from $50.9B in Q1 2021 to an estimated $130B in Q4 2021, a $79.1B (or more) increase.
In perspective, this revenue is more than 5 times BJ’s Wholesale Clubs’ annual revenues. Amazon’s cash used for property and equipment (including AWS) was $52.1B thru Q3 2021.
Again, in perspective, this is more than Amazon’s non-AWS businesses grossed in Q1 2021. This is more than 14 times what Costco has spent. In 2021 Amazon is estimated to have increased more than 60M sq ft of warehouse and logistics space (including seasonal).
BJ’s Wholesale Club retail chain grosses $15.5B with 32000 employees ($480,000 revenue/$13000 earnings per employee) and is growing at 17% in 2021. The market values BJ’s a P/E of about 20.
Costco retail chain grosses $192B in FY 2021, with 288,000 employees at 815 locations (251 Outside US) ($705,150 revenue/employee). FY2021, $3,588M capital expenditures, guidance of $3,800M to $4,200M during FY 2022. 118.9M sq ft of ‘store/warehouse’ and 31.4M sq ft of logistics/distribution were occupied with 22 new locations in FY2021 and 35 planned in FY2022.
Look for our next post where EkaLore will discuss Amazon’s Cloud services dominance.
Look for our next post where EkaLore will discuss Amazon’s Cloud services dominance.
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