Mixed fortunes for Amazon’s main Irish subsidiaries

It was a case of mixed fortunes on the financial front for two of Amazon’s Irish subsidiaries last year with the online retailer’s data services unit seeing profits rise while its customer services division remained in the red.

Newly-filed accounts show Amazon Data Services Ireland Limited, which provides web-hosting services to group companies, recorded a pretax profit of €26.2 million last year, up from €24.9 million a year earlier. Turnover from continuing operations rose by 45 per cent to €639 million from €440 million a year earlier, while operating profits were up 15 per cent to €37.8 million from €32.2 million.

The unit operates several data hub services in the Dublin area and employs 863 people. Staff costs, including wages and salaries, increased from €50.9 million to €74.1 million over the year.

The company’s corporation tax bill declined by €11.6 million to €4.93 million, the accounts show.

A separate Cork-based customer services subsidiary, Amazon CS Ireland Limited, which employs 836 people, saw pretax losses narrow from €1.67 million to €1.45 million last year. Turnover increased by 58 per cent from €57.3 million to €90.8 million, while the division recorded an operating loss of €1.45 million, versus €1.67 million a year earlier.

Staff costs, including wages and salaries, increased to €35.1 million, compared to €31.8 million in 2014.

Amazon CS Ireland’s corporation tax bill rose to €569,000 from €307,220 in the prior year, according to the accounts.