From Nasdaq: 2025-05-02 11:15:00

Amazon (AMZN) reported strong first-quarter 2025 results, beating earnings and revenue estimates. However, the company offered a cautious outlook for second-quarter operating income due to tariff uncertainty. Shares dropped 5% in after-hours trading, impacting ETFs like ONLN, FDIS, VCR, XLY, and RTH.

In Q1, Amazon reported earnings per share of $1.59, surpassing estimates. Revenues reached $155.7 billion, a 10% increase from the previous year. The advertising business saw the fastest growth, with revenues up 19% to $13.9 billion. Online store sales grew 6% to $57.41 billion, while AWS revenues rose 17% to $29.3 billion.

Amazon is investing heavily in data centers, chips, and AI workloads, including developing its own computer chips and using NVIDIA’s technology. For Q2 2025, the company expects revenues of $159-$164 billion, with an operating income projection of $13-$17.5 billion. The outlook remains cautious due to uncertain consumer demand amidst tariff policies.



Read more at Nasdaq: Amazon ETFs in Focus Post Q1 Earnings Beat, Shares Fall