's revenue surged ahead internationally in the second quarter as electronics and other merchandise made up more of its business, the company reported Tuesday.

Revenue hit $1.75 billion in the quarter ended June 30, up 26 per cent from $1.39 billion in last year's second quarter. Sales in the Seattle company's international segment, including its UK French, German, Japanese and Chinese units, grew 33 per cent from a year earlier to reach $793 million, according to a company statement.

The pioneer in online bookselling saw sales of electronics and general merchandise, as distinct from books and other media, grow to 26 per cent of its worldwide sales from 23 per cent a year earlier.

However, net income declined to $52 million from $76 million in the second quarter of 2004, including $56 million in income tax expense, which was up from $5 million a year earlier. Amazon's earnings were $0.12 per share, down from $0.18 per share in last year's second quarter. However, that figure beat financial analysts' consensus estimate of $0.10 per share according to Thomson First Call. Amazon also slightly exceeded the consensus estimate of revenue, which was $1.73 billion.