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SEATTLE — Amazon.com reported an impressive 11% rise in net sales, to $158.9 billion, in its fiscal third quarter. The increase was spurred by strong growth across North America, international markets, and its Amazon Web Services (AWS) division. With a 55% jump in net income year over year, Amazon continues to reinforce its position in e-commerce and cloud computing as it heads into the holiday season with notable momentum.
Chief executive officer Andy Jassy credited Amazon’s continued focus on customer experience and product innovation as the driving forces behind this quarter’s success.
“As we get into the holiday season, we’re excited about what we have in store for customers,” Jassy remarked, emphasizing Amazon’s intent to leverage a wide array of offerings, from exclusive Prime Video content to enhanced cloud infrastructure. He added, “We kicked off the holiday season with our biggest-ever Prime Big Deal Days and the launch of an all-new Kindle lineup that is significantly outperforming our expectations.”
Amazon’s North America sales rose 9% year-over-year to $95.5 billion, underscoring its solid footing in the core U.S. market. International sales surged by 12% to $35.9 billion. AWS, Amazon’s cloud powerhouse, proved to be a major growth driver with a remarkable 19% revenue increase, bringing in $27.5 billion. Reflecting on the rapid pace of innovation within AWS, Jassy hinted at further cloud advances in the works, noting, “There’s so much more coming, from tens of millions of deals to over 100 new cloud infrastructure and AI capabilities that we’ll share at AWS re:Invent the week after Thanksgiving.”
Operating income for the quarter grew to $17.4 billion, up from $11.2 billion last year, while trailing twelve-month free cash flow nearly tripled to $47.7 billion. This substantial financial strength positions Amazon advantageously as it prepares for the highly competitive holiday season, a period that is historically pivotal for retail revenue.
“Customer engagement and operational efficiency have been central to our growth this quarter,” Jassy said. He added that Amazon’s record-breaking Prime Big Deal Days saw “record sales, number of items sold, and Prime member participation,” which he credited for boosting cash flow and bolstering customer loyalty.
Looking ahead, Amazon forecasts fourth-quarter net sales of up to $188.5 billion, with anticipated operating income between $16.0 billion and $20.0 billion. Jassy’s optimism signals a strong holiday outlook, positioning Amazon to cap off the year with continued upward momentum across its expanding retail and digital ecosystem.
