Amazon stock is up in extended trading after the company reported second-quarter earnings exceeding analysts’ estimates while additionally issuing guidance of accelerating revenue growth.
- Net sales increased 11% to $134.4 billion in the second quarter, compared with $121.2 billion in the second quarter of 2022.
- North America segment sales increased 11% year-over-year to $82.5 billion.
- International segment sales increased 10% year-over-year to $29.7 billion.
- AWS segment sales increased 12% year-over-year to $22.1 billion.
- Operating income increased to $7.7 billion in the second quarter, compared with $3.3 billion in the second quarter of 2022
“It was another strong quarter of progress for Amazon,” said Andy Jassy, Amazon CEO in a statement.
“We continued lowering our cost to serve in our fulfillment network, while also providing Prime customers with the fastest delivery speeds we’ve ever recorded. Our AWS growth stabilized as customers started shifting from cost optimization to new workload deployment, and AWS has continued to add to its meaningful leadership position in the cloud with a slew of generative AI releases that make it much easier and more cost-effective for companies to train and run models (Trainium and Inferentia chips), customize Large Language Models to build generative AI applications and agents (Bedrock), and write code much more efficiently with CodeWhisperer.
Jassy added “We’re also continuing to see strong demand for our advertising services as the team keeps innovating for brands, including the ramp up for Thursday Night Football with the ability for advertisers to tailor their spots by audience and create interactive experiences for consumers. We remain excited about what lies ahead for customers and the company.”