Amazon has reported heavy losses during its third-quarter earnings calls, and there could be darker times ahead, according to Digital Spy.

The internet retailer posted spiralling net losses of $437 million - or 95 cents a share - for the period in question, compared to a net loss of $41 million this time last year.

There was somewhat better news where revenue is concerned, with the firm raking in $20.58 billion, narrowly missing expectations of $20.84 billion.

Although Amazon is anticipating further deficits over the festive period, its free cash flow increased to $1.08 billion during the third quarter.

The deficit was attributed to pricy acquisitions and below-par hardware sales, with the company's Fire Phone believed to have fallen short of expectations and its takeover of games streaming site Twitch costing $1 billion.

Amazon's stock fell by 11% to $278.88 after the results were announced.