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Dec 31, 2022
Amazon Q4 2022 Earnings Report
Amazon's Q4 2022 results saw a net sales increase of 9% to $149.2 billion, but operating income decreased to $2.7 billion and net income decreased to $0.3 billion.
Key Takeaways
Amazon's Q4 2022 net sales increased by 9% to $149.2 billion, while operating income decreased to $2.7 billion, and net income decreased significantly to $0.3 billion, impacted by valuation losses in Rivian Automotive, Inc.
Net sales increased 9% to $149.2 billion, or 12% excluding foreign exchange impacts.
North America segment sales increased 13% to $93.4 billion.
AWS segment sales increased 20% to $21.4 billion.
Operating income decreased to $2.7 billion, including $2.7 billion of charges.
Amazon
Amazon
Amazon Revenue by Segment
Forward Guidance
Amazon anticipates net sales between $121.0 billion and $126.0 billion, representing growth between 4% and 8% compared to Q1 2022. Operating income is expected to be between $0 and $4.0 billion.
Positive Outlook
- Net sales are expected to grow between 4% and 8% compared with first quarter 2022.
- Guidance anticipates an unfavorable impact of approximately 210 basis points from foreign exchange rates.
- Operating income is expected to be between $0 and $4.0 billion, compared with $3.7 billion in first quarter 2022.
- Guidance assumes no additional business acquisitions.
- Guidance assumes no additional restructurings.
Challenges Ahead
- Our results are inherently unpredictable and may be materially affected by many factors.
- Uncertainty regarding the impacts of the COVID-19 pandemic.
- Fluctuations in foreign exchange rates.
- Changes in global economic and geopolitical conditions and customer demand and spending (including the impact of recessionary fears).
- Inflation, interest rates, regional labor market and global supply chain constraints, world events, the rate of growth of the Internet, online commerce, and cloud services.