Amazon reported its FY 2012 earnings Tuesday, with revenues growing to $61 billion, up 27% year-over-year. Most of its sales growth was driven by the strong sales of electronics and other general merchandise, which grew at about 34% in the North American markets and 35% in international markets. Amazon’s operating margins as a percent of consolidated sales rose to 3.2% from 2.7% a year ago. The primary factor behind the growth in margins was the success of third party sellers on Amazon’s marketplace. We believe that the company’s push towards setting up fulfillment centers will result in further margin improvement in 2013. The growing popularity of the content and web services businesses which have higher margins will also help profitability going forward. Amazon competes in the e-commerce and e-content space with companies such as eBay and Apple. See our full analysis for Amazon's stock here