Amazon hopes strong holiday sales will trigger profitability

Associated Press

SEATTLE — Amazon.com said Thursday it sold 37.9 million items worldwide during the holiday season, but cautioned that the figure should not be taken as an indication of financial performance.

The figure — updated constantly during the holidays on the Internet retailer’s "Delight-O-Meter" — included sales at its Web sites for the United States, Britain, France, Japan and Germany from Nov. 9 to Dec. 21.

In addition to traditional Amazon sales, the figure also includes sales from partner stores, such as Toys’R’Us, Borders and Target; its used-item division, Marketplace; and its auctions sites.

Last year, the company said it sold 31 million total items between Nov. 2 and Dec. 23, but those figures did not include sales from partner sites, used items and auctions.

The partner and used sites are expected to account for a major chunk of orders during Amazon’s holiday season — although they don’t always bring in as much revenue as traditional orders.

The company struck several important partnerships this year with retailers including Target, Borders and Circuit City. It also saw a huge increase in used items, which accounted for 17 percent of orders in the third quarter.

Amazon, the world’s largest Internet retailer, is aiming to reach pro forma operating profitability, a type of profitability that excludes many expenses, in the fourth quarter, and a strong holiday season will be key to that effort.

Amazon will release detailed financial results Jan. 22. The results will be reported before the market opens; previously, the company has reported its results after the market closed. Spokesman Bill Curry said the change was caused by scheduling conflicts.

Shares in Amazon were down 38 cents, or 3.4 percent, at $10.72 in afternoon trading Thursday on the Nasdaq stock market.