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Nov. 3, 2025, 1:26 p.m.
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Amazon Reports $180.2 Billion Q3 Sales Boosted by AI and AWS Growth

Brief news summary

Amazon reported strong Q3 results with net sales of $180.2 billion, up 13% year-over-year, driven by AI innovations centered in Seattle. AWS revenue surged 20% to $33 billion, reflecting robust demand for cloud services. North American sales increased 11% to $160.3 billion, while international sales grew 14% to $40.9 billion, underscoring Amazon’s global expansion. CEO Andy Jassy highlighted AI advancements and infrastructure upgrades as key growth drivers, with AWS achieving its best growth since 2022. Retail initiatives enhanced customer experience via faster Prime deliveries, expanded same-day grocery service to 2,300+ communities, and doubled expedited rural deliveries. Operating income held steady at $17.4 billion despite $2.5 billion FTC settlement and $1.8 billion severance costs; excluding these, it reached $21.7 billion. Net income rose to $21.2 billion ($1.95/share) from $15.3 billion ($1.43/share), while operating cash flow grew 16% to $130.7 billion, although free cash flow declined to $14.8 billion. The AI-powered Rufus shopping assistant now engages 250 million customers, increasing purchase likelihood by 60%, supported by the new “Help Me Decide” feature. For Q4, Amazon projects net sales between $206 billion and $213 billion (10–13% growth) and operating income of $21 billion to $26 billion.

Amazon reported third-quarter net sales of $180. 2 billion, marking a 13 percent increase compared to the previous year, driven largely by artificial intelligence initiatives throughout its Seattle-based operations. The Amazon Web Services (AWS) segment generated $33 billion in revenue during the quarter, a 20 percent year-over-year rise, reflecting continued strong demand for cloud computing services. North American operations accounted for $160. 3 billion in sales, up 11 percent from the same period in 2024, while international sales reached $40. 9 billion, showing a 14 percent increase year-over-year. These numbers underscore the company’s growth across key geographic markets. President and CEO Andy Jassy credited the results to advances in artificial intelligence. He stated, “We continue to see strong momentum and growth across Amazon as AI drives meaningful improvements in every corner of our business. ” Jassy added, “Demand remains strong in AI and core infrastructure, and we’ve been focused on accelerating capacity. ” He noted that AWS’s growth rate is at levels not seen since 2022, indicative of substantial investments in computing capabilities. In the retail stores division, Amazon has improved its fulfillment network through ongoing innovation. Jassy said, “In Stores, we continue realizing the benefits of innovating our fulfillment network. We’re on track to deliver to Prime members at the fastest speeds ever again this year, expand same-day delivery of perishable groceries to over 2, 300 communities by year’s end, and double the number of rural communities with access to Amazon’s same-day and next-day delivery. ” These initiatives aim to enhance delivery efficiency for subscribers and extend service reach into underserved areas. Operating income for the third quarter was $17. 4 billion, matching the third quarter of 2024.

This includes two special charges: $2. 5 billion related to a Federal Trade Commission legal settlement and $1. 8 billion in anticipated severance costs due to planned role eliminations. Excluding these, operating income would have been $21. 7 billion. Net income rose to $21. 2 billion, or $1. 95 per diluted share, compared to $15. 3 billion, or $1. 43 per diluted share, in the third quarter of 2024. Over the trailing 12 months, operating cash flow increased 16 percent to $130. 7 billion, while free cash flow declined to $14. 8 billion during the same period. Amazon’s Rufus AI-powered shopping assistant now serves 250 million customers. Among these users, 60 percent show a higher likelihood of completing purchases. The company also introduced a new “Help Me Decide” AI feature, designed to aid product selection by analyzing browsing data, search queries, shopping history, and user preferences. Looking ahead to the fourth quarter, Amazon forecasts net sales between $206 billion and $213 billion, representing 10 to 13 percent growth over the fourth quarter of 2024. Operating income is projected to range from $21 billion to $26 billion.


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