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Jun 30, 2024

Amazon Q2 2024 Earnings Report

Amazon's Q2 2024 results saw a significant increase in net sales and operating income, driven by strong performance across all segments.

Key Takeaways

Amazon's second quarter 2024 results show a strong performance with net sales increasing by 10% to $148.0 billion and operating income increasing to $14.7 billion. Net income also saw a substantial increase to $13.5 billion, or $1.26 per diluted share.

Net sales increased by 10% to $148.0 billion.

Operating income increased to $14.7 billion.

Net income increased to $13.5 billion, or $1.26 per diluted share.

AWS segment sales increased 19% year-over-year to $26.3 billion.

Total Revenue
$148B
Previous year: $134B
+10.1%
EPS
$1.26
Previous year: $0.63
+100.0%
Operating Margin
9.9%
Gross Profit
$74.2B
Cash and Equivalents
$71.7B
Free Cash Flow
$7.66B
Total Assets
$555B

Amazon

Amazon

Amazon Revenue by Segment

Forward Guidance

Amazon anticipates net sales between $154.0 billion and $158.5 billion, representing growth between 8% and 11% compared to the third quarter of 2023. The company expects operating income to be between $11.5 billion and $15.0 billion, compared to $11.2 billion in the third quarter of 2023.

Positive Outlook

  • Net sales are expected to grow between 8% and 11% compared with third quarter 2023.
  • Operating income is expected to be between $11.5 billion and $15.0 billion.
  • Continued progress on various dimensions.
  • Reacceleration in AWS growth.
  • Customers' top choice for cloud services.

Challenges Ahead

  • Guidance anticipates an unfavorable impact of approximately 90 basis points from foreign exchange rates.
  • Results are inherently unpredictable.
  • Materially affected by fluctuations in foreign exchange rates.
  • Changes in global economic and geopolitical conditions and customer demand and spending.
  • Impact of recessionary fears, inflation, interest rates, regional labor market constraints, world events.

Revenue & Expenses

Visualization of income flow from segment revenue to net income