Amazon has announced exceptional third-quarter results, exceeding expectations with a significant 11% increase in net sales, reaching $158.9 billion. This strong performance was fueled by growth across all segments, including North America, International, and Amazon Web Services (AWS).
Key Financial Highlights:
- Net sales surged 11% to $158.9 billion, compared to $143.1 billion in the same period last year.
- Operating income increased to $17.4 billion, compared to $11.2 billion in the third quarter of 2023.
- Net income jumped to $15.3 billion, or $1.43 per diluted share, compared to $9.9 billion, or $0.94 per diluted share, in the same period last year.
- Operating cash flow increased 57% to $112.7 billion for the trailing twelve months.
- Free cash flow increased to $47.7 billion for the trailing twelve months.
Strong Performance Across Segments:
All of Amazon’s segments contributed to the strong third-quarter performance:
- North America segment sales increased 9% year-over-year to $95.5 billion.
- International segment sales increased 12% year-over-year to $35.9 billion.
- AWS segment sales increased 19% year-over-year to $27.5 billion.
“As we get into the holiday season, we’re excited about what we have in store for customers,” said Andy Jassy, Amazon President & CEO. He highlighted the success of Prime Big Deal Days, the launch of a new Kindle lineup, and upcoming events like the NFL Black Friday game on Prime Video.
Recent Highlights:
Amazon also highlighted several key achievements since its last earnings announcement:
- Record-breaking Prime Big Deal Days shopping event.
- Launch of new generative AI-powered features.
- Expansion of Amazon Pharmacy Same-Day Delivery.
- Launch of new foundation models in Amazon Bedrock and Amazon SageMaker.
- Launch of new Amazon EC2 instances based on the Graviton4 processor.
- Strategic collaboration with Databricks to accelerate the development of custom AI models.
- Successful launch of Season 2 of “The Lord of the Rings: The Rings of Power” on Prime Video.
- Record viewership for the Cowboys-Giants Thursday Night Football game on Prime Video.
- Launch of a new Kindle lineup, including a reimagined Kindle Scribe with generative AI.
- Investments in the Delivery Service Partner program to support safety and innovation.