Amazon loses $2.7 billion in 2022, reports first ‘unprofitable’ year since 2014

The Covid-19 outbreak acted as a huge impetus that expanded the scope of online shopping. During this period, Amazon kept growing as its profits doubled. However, the e-commerce giant couldn’t hire and build warehouses fast enough to meet the increasing demand in online shopping. Now, as the pandemic situation gradually ceases to exist, consumers have started returning to physical stores and have switched from cocooning to travel and outings. Moreover, with the rise in inflation, customers have also become more hesitant to spend.

As the pandemic-era shopping spree comes to an end Amazon’s run of surging profits is also going down. The company has now updated its blog post to announce its Q4 2022 results. As per the blog post, Amazon has reported its first unprofitable year since 2014. In 2022, the e-tailer lost $2.7 billion despite the holiday-season sales growing by 9%.