Amazon Reports Strong Earnings with Fastest Growth in Five Years
Amazon delivered its strongest quarterly growth in five years, surpassing analyst expectations. Revenue rose 20% to $200.6 billion, and operating income increased by 43% to $27.5 billion. Amazon Web Services (AWS) saw the fastest revenue growth in nearly five years at 37%, with both its AI and chips businesses exceeding a combined annual run rate of $25 billion each. The e-commerce segment also performed well, driven by faster delivery speeds and strategic timing shifts for Prime Day. North America revenue grew 16% to $116.2 billion while international revenue rose 15% to $42.2 billion. Advertising revenue increased 26%, contributing significantly to the overall performance. Amazon's CEO, Andy Jassy, highlighted advancements in grocery delivery and expansion of its ultra-fast Amazon Now service into new U.S. cities and Egypt as key growth drivers.
Topics: AWS growth capital expenditures cloud computing e-commerce