The worst month for technology stocks in years has left Amazon founder and executive chairman Jeff Bezos $20.5 billion poorer. In a span of 24 hours, Bezos’ net worth dropped from roughly $168 billion to $148 billion.
Last week Amazon reported a quarterly loss and the slowest sales growth since 2001, which caused the technology giant’s shares to plummet 14% on Friday. Amazon’s loss comes as a result of a rise in inflation and fuel cost, and higher labor cost after a hiring binge during the pandemic.
Amazon said it recorded a loss of $3.8 billion during the past quarter, or $7.56 per share, compared with a profit of $8.1 billion a year ago, or a profit of $15.79 per share. Revenues rose 7% from last year to $116.4 billion, the slowest growth in more than a decade.
“The pandemic and subsequent war in Ukraine have brought unusual growth and challenges,” Amazon CEO Andy Jassy said. “Today, as we’re no longer chasing physical or staffing capacity, our teams are squarely focused on improving productivity and cost efficiencies throughout our fulfillment network. We know how to do this and have done it before.”
Bezos’ fortune has dropped nearly $44 billion since Jan. 1. His net wealth is primarily tied to his 9.81% stake in Amazon as of March 2, according to FactSet.
According to the Bloomberg Billionaires Index, Bezos’s net worth has fallen from a peak this year of more than $210 billion. And the world’s 500 richest people lost a total of more than $54 billion Friday.
According to the Bloomberg index, Bezos still the second-wealthiest man in the world after Tesla CEO Elon Musk. Third is French businessman Bernard Arnault, the CEO of the luxury group LVMH – Louis Vuitton, Tiffany, Hennessy – Arnault’s fortune is estimated at $136 billion. Bill Gates is fourth with a fortune of $125 billion.