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CLAIM #7173 · Amazon.com Inc (AMZN) · 2022Q1 earnings call · Apr 28, 2022 · due Jul 31, 2022

So, that will be at some lower levels as we aim to and kind of expect to see some improvement in productivity, some of those other areas.

Dave Fildes · Director of IR

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versus commitment · official band 5 percent
Committed
expect to see some improvement in productivity, some of those other areas
Reported
We made strides to improve fulfillment network productivity in Q2.

In context

or excuse me, the household budgets, a lot of times that is a time when -- and people come to Amazon because they know we have great prices and selection and convenience. So, it can go one of two ways. But we don't see any macroeconomic factors generally in this forecast on the demand side. We definitely see it on the cost side. Dave Fildes: And Mark, I think your second question was related to the operating income guidance and some of the detail there. So, as Brian said, the first time we've given the guidance for the second quarter. But you detailed a number of pieces, but like you said, expect to see, in aggregate, about $4 billion of pressure for the 3 buckets that Brian talked about, higher inflationary pressures, lower productivity and some fixed cost deleverage persisting into Q2. So, that will be at some lower levels as we aim to and kind of expect to see some improvement in productivity, some of those other areas. We're also committed to just generally reducing variable cost per unit and working to lever our fixed costs, specifically where we have those controllable cost buckets Brian spoke about. The other thing -- again, Brian mentioned it towards the end there of this opening -- to see that seasonal step-up in stock-based compensation expense. So, recall that our employees received those RSU grants in the second quarter. This year, we expect to see the expense of approximately $6 billion. And so, that's up from about $3.3 billion in the first quarter. Operator: Our next question comes from Justin Post with Bank of America. Justin Post: Big picture, Amazon hasn't really been around during a period of high inflation. How do you think about passing through the higher input costs through pricing? Wh

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SEC filings for AMZN · Claim quote is verbatim from the 2022Q1 earnings call.