Amazon said last night that its loss in the last quarter widened to $437m after a series of product launches including new phones, tablets and television programmes.
But the online retail giant, which is known for prioritising investment over profits, produced a disappointing quarterly report which sent its stock price tumbling.
Amazon shares sank 10.5% in after-hours trade following the report, but regained some ground by mid-afternoon today.
The loss in the third quarter was worse than anticipated, and far worse than the $41m deficit the same time a year earlier.
Net sales increased 20% from a year ago to $20.58 billion in the quarter.
"As we get ready for this upcoming holiday season, we are focused on making the customer experience easier and more stress-free than ever," said a statement from Amazon chief executive Jeff Bezos, avoiding any direct comments on the financial results.
Amazon in June announced the launch of its "Fire" smartphone and also upgraded its line of Kindle tablet computers.
The company bolstered its online content with new original programs and ordered a second season of its dark comedy "Transparent."
The Seattle-based company bolstered its online gaming presence with a $970m acquisition of the game platform Twitch, and expanded its "Amazon Fresh" grocery delivery service.
