Amazon has reported second quarter income of just $7m, down 96% compared with the same period the year before.
The company blamed the fall on an estimated $65m loss from its acquisition and integration of robot-maker Kiva systems in a $775m deal in March.
Kiva Systems makes robot technology to automate warehouses, which Amazon hopes will eventually boost its productivity and profitability.
Amazon reported that net sales increased 29% to $12.83bn, compared with $9.91bn in the second quarter of 2011, an increase of nearly 30%.
But this fell short of analyst predictions. The company blamed this on the strong dollar, which made its products more expensive in Europe and other key markets.
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Despite Amazon warning that it expects to make a loss of between $50m and $350m in the current third quarter, the company's shares rose 1.2% in after-hours trading, according to the BBC.