By Jonathan Davies

Amazon has seen its share price surge 18% after reporting an expected profit in the second quarter.

The online retailer posted profits of $92 million, compared with a $126m loss in the same period a year ago.

Sales were up 20% to $23.2bn in the three months to the end of June. That was largely boosted by growth in the US, where sales increased by 25.5% to $13.8bn.

Amazon's share price had initially fallen by more than 1% during the day, but leapt higher in after-hours trading. The retailer also forecast sales growth to be between 13% and 24% for the third quarter, much stronger than analysts expectations.