Amazon Q2 FY2025 Earnings

Amazon reported its second quarter results for FY2025, showcasing strong revenue and profit growth year-on-year. However, a weaker-than-expected Q3 guidance weighed on market sentiment, leading to a dip in the stock price during after-hours trading.

🧾 Financial Comparison – Q2 FY2025 vs Q2 FY2024

Metric Q2 FY2025 Q2 FY2024 YoY Change
Net Sales $167.7B $148.0B +13%
Operating Income $19.2B $14.7B +31%
Net Income $18.2B (EPS $1.68) $13.5B (EPS $1.26) +35% (EPS +33%)
AWS Revenue $30.9B $26.3B +17.5%
North America Sales $100.1B $90.1B +11%
International Sales $36.8B $31.6B +16%

📌 Key Highlights

  • Strong Growth: Total revenue up 13% and net income surged 35% YoY, reflecting solid performance across retail and cloud.
  • AWS Still Growing: Amazon Web Services revenue rose 17.5%, although it lagged behind Microsoft and Google Cloud growth rates.
  • AI Investments: Continued focus on AI infrastructure with products like AgentCore, Alexa+, and DeepFleet leading innovation efforts.

📉 Market Reaction

Despite strong numbers, Amazon shares fell 3–7% in after-hours due to Q3 guidance. The company expects operating income between $15.5B–$20.5B, slightly below analyst expectations.

🚀 Outlook

Amazon is heavily investing in generative AI and cloud infrastructure, positioning itself for long-term growth. While short-term profit margins may face headwinds, Amazon's core businesses remain resilient.

Disclaimer: This post is for informational purposes only and does not constitute investment advice.

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