Monday 25 June 2018

Revenues soar 42pc at Amazon Irish firm to €1.1bn

Amazon founder and CEO Jeff Bezos is worth $112bn. Photo: Peter Foley/Bloomberg
Amazon founder and CEO Jeff Bezos is worth $112bn. Photo: Peter Foley/Bloomberg

Gordon Deegan

Revenues at the main Irish arm of online giant Amazon soared by 42pc to €1.1bn last year.

New accounts show pre-tax profits at data centre firm Amazon Data Services Ltd (ADSIL) increased 16pc from €26m to €30.2m on the back of the soaring revenues in the 12 months to the end of December last.

Recently, Forbes confirmed the founder and CEO of Amazon's global operations Jeff Bezos as the world's richest man with a fortune of $112bn (€90.7bn).

Globally, Amazon last year recorded revenues of $177.87bn (€144.05bn).

There was a major expansion of ADSIL here as the numbers employed went up to 1,189. Another Amazon firm, the Cork based Amazon CS Ireland Ltd (ACSI) - which operates a customer service centre at Cork Airport Business Park - also enjoyed expansion with employee numbers rising from 904 to 1,071.

Amazon is continuing its growth here in 2018 after ADSIL secured planning permission in January for the first phase of a new €1bn data services centre at Mulhuddart, Co Dublin.

Dubbed 'Project G', the project is Amazon's most ambitious to date in Ireland and ADSIL plans to initially build a 223,000 sq ft data centre in Mulhuddart and has told Fingal County Council it might build seven more data centres on the 26-hectare IDA-owned site.

ADSIL operates a number of data centres across Dublin and the firm's profits for last year take account of hefty non-cash depreciation costs of €680m.

The firm's lease costs totalled €15m while its research and development costs totalled €9.9m.

The company paid corporation tax of €11m on its profits.

At the end of December last, the company's shareholder funds totalled €686.38m. Accumulated profits increased from €81.88m to €100.96m. Directors' pay at ADSIL last year decreased from €1.6m to €1.23m.

The accounts for the two firms underline the growing importance of Amazon's operations to the economy - combined staff costs last year increased from €118.68 to €166m.

The accounts for ACSI show pre-tax losses increased from €2.9m to €3.3m last year.

The company recorded the increase in losses in spite of revenues at ACSI increasing by 9pc, rising from €98.27m to €107.46m.

Irish Independent

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