Amazon’s third-quarter earnings report was a clean sweep, with the company beating Wall Street estimates for both revenue and profit. The news sent the company’s stock soaring 9% in after-hours trading.
The tech giant posted $1.95 earnings per share, significantly higher than the $1.58 analysts had anticipated. Net sales revenue hit $180.17bn, topping the $177.82bn forecast.
A key driver of this success was the Amazon Web Services (AWS) division. The cloud computing arm saw revenue increase 20% year-over-year to $33bn, its fastest growth since 2022 and ahead of the $32.42bn estimate.
This strong AWS performance came even after a recent, high-profile global outage, suggesting the temporary disruption had no impact on its long-term growth trajectory.
Amid the good financial news, Amazon confirmed 14,000 corporate layoffs. CEO Andy Jassy attributed the cuts to a “culture” shift, stating the company wanted to be more “nimble,” and denied they were driven by AI.
Amazon Crushes Q3 Estimates, Stock Jumps 9%
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