From Nasdaq: 2025-02-07 08:41:00

Amazon.com reported strong fourth-quarter 2024 earnings, with $1.86 per share, an 84.2% increase from the previous year. Net income reached $20 billion, and net sales rose to $187.8 billion, driven by Amazon Web Services and advertising growth. However, geopolitical tensions and other factors pose risks to future performance.

The company introduced new AWS capabilities like Amazon Nova and Trainium2, enhancing AI and cloud services. Project Rainier and Amazon Bedrock Marketplace cater to diverse customer needs. Several agreements with big names like Intuit and PayPal were signed. Amazon remains at the forefront of innovation in the tech industry.

Subscription services like Prime continue to drive revenue growth, with a 10% increase year-over-year. Fast delivery services and exclusive content on Prime Video contributed to this success. Amazon’s record-breaking Black Friday deals and the launch of Amazon Haul further boosted sales. Kindle device sales saw a significant increase as well.

Operating expenses rose by 6.3%, but operating income increased to $21.2 billion. AWS segment operating income reached $10.6 billion, highlighting the strength of cloud services. Amazon’s balance sheet showed growth in cash and cash equivalents, marketable securities, and operating cash flow. However, the company’s stock dipped due to disappointing first-quarter guidance.

Amazon’s future outlook remains positive despite challenges. The company expects net sales between $151 billion and $155.5 billion in the first quarter, with growth projected at 5-9% year-over-year. Operating income is forecasted between $14 billion and $18 billion. Amazon continues to innovate and expand its offerings to drive future success.



Read more at Nasdaq: Amazon Beats Q4 Earnings Estimates, Issues Weak Q1 Guidance