Amazon Repenings overcame the plate, but the stocks decrease with the distribution of investors on the commercial opposite winds
Amazon I mentioned strong The second quarter of 2025 financial results On July 31, Wall Street’s expectations exceeded the growth of sharp revenues and noticeable gains in the main business sectors. However, the enthusiasm of the investor has reduced as the company’s shares decreased by up to 3 % in trading after working hours, reflecting continuous concerns about the opposite winds for retail and long -term spending plans.
For a period from April to June, Amazon recorded revenues of 167.7 billion dollars, climbing 13 % year on an annual basis and analysts’ expectations of $ 162.1 billion. The stock profits amounted to $ 1.68, with a rise of $ 1.33 expected. The net income for a quarter reached 18.2 billion dollars, or more than 10 % of the increase from last year.
Amazon’s financial performance stems from strong implementation across many areas. Although the sprawling retail operations are still the largest part of its business, the real profit growth engine is still Amazon Web Services (AWS), which is the company’s cloud computer arm.
AWS and AI’s profitability
AWS achieved revenue of $ 30.9 billion, which represents an increase of 17.5 % on an annual basis and a direct decline with industry expectations. The unit reached $ 10.2 billion of operating profits – more than half of the employment income of $ 19.2 billion from Amazon for a quarter. This confirms the role of AWS as a financial strength for Amazon, driven by increasing demand for artificial intelligence and cloud infrastructure as companies speed up technological investments.
CEO Andy Jassi highlighted the artificial intelligence as a transformative power of Amazon, with the majority of 2025 It is planned 100 billion dollars in capital expenditures Dependable to expand AWS’s ability to have gym and machine learning. Since the main customers are transporting more work burdens to the cloud and adopting AI’s paid services, AWS still in a long -term driving position, despite short -term pressure from its heavy investment.
Retail and advertising trade flexibility
Despite the ongoing concerns about customs tariffs and consumer spending, the Amazon store sales on the Internet grew by 11 % to $ 61.5 billion. The services of the company’s third party seller also expanded, as revenues increased by 11 % to $ 40.3 billion. The physical stores, including Whole Foods, have achieved a 7 % increase to $ 5.6 billion, while subscription revenues – such as primary membership – have reached 12 % to 12.2 billion dollars.
The Amazon advertising sector was a prominent performer, with revenues of $ 15.6 billion, an increase of 23 % over the previous year. These advertising has become an increasingly decisive pillar within the Amazon profit structure, where brands compete for consumer eyes on the huge podium shopping interface.
Challenges and expectations
The company is moving in the complex macroeconomic climate that includes inflation, changing trade policies and labor market restrictions. Shipping expenses increased by 6 % to 23.4 billion dollars, reflecting both global cost pressure and increased demand for rapid delivery.
Although Amazon Q2 profits do not reflect the effect of peak day in July-after the end of the quarter-the company remains optimistic, as you expect the revenue of the third quarter in the range of $ 174 billion to 179.5 billion dollars, above analysts’ expectations. Operating income is expected to range between $ 15.5 billion and 20.5 billion dollars.
Meanwhile, the number of main employees from Amazon increased by 1 % year on an annual basis to 1.55 million, as CEO Andy Jassi pointed to more simplification of the workforce as automation and AI Toulidi to gain traction internally. “Our progress continues throughout the Board of Directors to improve our customer experiences, the speed of innovation, operational efficiency and business growth, and I am excited about what awaits us.”
Investor response
Despite the optimistic profit report, Amazon shares decreased in extended trading, explaining Wall Street about continuous retail fluctuations, intensive capital growth, cloud competitive dynamics and AI. However, analysts remain bullish in the strategic direction of Amazon, referring to leadership in cloud innovation, flexible retailers, and aggressive expansion in the future of artificial intelligence.
For this story, luck The artificial intelligence is used to help with a preliminary draft. Check an editor of the accuracy of the information before publishing.
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