Published , by TJ Denzer
Published , by TJ Denzer
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:
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.