Amazon (AMZN) Q4 2022 net income hit by $2.3 billion valuation loss in Rivian
Amazon's investment in the electric vehicle maker ended up leading to a huge loss in income for Amazon's Q4 2022 bottom line.
The Amazon company was one of the latest tech giants to announce its quarterly earnings results today and there were some nasty losses tacked on to what was otherwise a solid quarter. Amazon’s investment in electric vehicle maker Rivian has continued to be a major loss contributor for the company and, in Q4 2022, it ended up costing the company $2.3 billion USD on its net income.
Amazon reported this detail in its Q4 2022 earnings results on the investor relations website on February 2, 2023. While the company beat revenue expectations and showed major growth for Amazon Web Services, it wasn’t all wins for Amazon. The company has a major stake in electric automaker Rivian, and this has led to a major loss included in the company’s net income reporting:
Source: Google
This marks one of several times Amazon has taken a hit in its finances over Rivian. The company’s Q1 2022 net losses totaled around $7.6 billion, of which Rivian was a contributor. It also took a $3.9 billion writedown in Q2 2022 due to Rivian. While the electric vehicle company has remained active in the EV tech space, it has also failed to firm up its footing following an IPO in 2021.
Where Amazon has continued to be successful and profitable thanks to a number of other factors, including AWS, its investment in Rivian seemingly continues to bleed that success. Stay tuned as we continue to follow for further updates and details coming out of tech company earnings results.
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replyTJ Denzer posted a new article, Amazon (AMZN) Q4 2022 net income hit by $2.3 billion valuation loss in Rivian
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Man that’s crazy. Apples coming at the EV market like we make luxury electronics and you’re gonna buy this EV from us because our phones are dope so this EG will obviously be dope.
Amazon coming to the EV market like you’re gonna love this car because we sent you shit so you don’t have to go the store. So you know this car is gonna be a good value. Or at least that’s what they outta aspire to! The aren’t a luxury brand at all. They probably are gonna have shit margins on their ev compared to Tesla.-
Amazon dumped a bunch of money in to Rivian for them to build the new fleet of Amazon delivery vans. https://youtu.be/3CWCqJl0BEs
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Yeah I know, but I they own 20% of the company. They’re eventually gonna want a return on that investment other than just building delivery vehicles (can’t me that much margin there) so I think they’ll push Rivian to make a cheap and affordable consumer EV. The corolla ev just amazon is the Corolla tech company.
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you and me both Amazon
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