Amazon.com Inc reported a 73 per cent drop in quarterly profit yesterday after spending heavily on its new tablet computer and other long-term projects.

Shares plummeted 14 per cent to $194.31 after hours, after closing at $227.15. The world’s largest internet retailer said third-quarter net income was $63 million, or 14 cents a share, versus $231 million, or 51 cents a share, a year earlier. Revenue was $10.88 billion, up 44 per cent from the third quarter of 2010, it said. Analysts had expected Amazon to report third-quarter earnings per share of 24 cents on revenue of $10.95 billion. – (Reuters)