Companies

Amazon announces first quarter results

May 7, 2024 United States

A solid start to 2024 for the Seattle-based online giant. Amazon reported a 13% year-over-year increase in net sales in the first quarter, with all segments contributing to the result

“It was a good start to the year across the business, and you can see that in both our customer experience improvements and financial results. The combination of companies renewing their infrastructure modernisation efforts and the appeal of AWS’s AI capabilities is reaccelerating AWS’s growth rate (now at a $100 billion annual revenue run rate); our Stores business continues to expand selection, provide everyday low prices, and accelerate delivery speed (setting another record on speed for Prime customers in Q1) while lowering our cost to serve; and, our Advertising efforts continue to benefit from the growth of our Stores and Prime Video businesses”, commented Andy Jassy, Amazon President and CEO.

First Quarter Results

In the first quarter of the current fiscal year, the company’s net sales reached 143.4 billion US dollars, an increase of 13% on a comparable basis to the same period of 2023.

During this period, the North America segment contributed 86.3 billion US dollars to Amazon’s total net sales, up by 12% year-over-year, and the international segment contributed 31.9 billion US dollars, up by 11% year-over-year on a constant currency basis. The AWS segment accounted for the remaining 25.0 billion US dollars, up by 17% year-over-year.

The online giant reported an operating income of 15.3 billion US dollars in the first three months of 2024, as compared to an operating income of 4.8 billion US dollars in the same quarter of last year.

Quarterly profits were also up significantly. At the end of March, Amazon’s net income was 10.4 billion US dollars, or 0.98 US dollars per diluted share, on a comparable basis to a net income of 3.2 billion US dollars, or 0.31 US dollars per diluted share, in a similar period of the previous year.

Second Quarter Outlook

For the second quarter of the current fiscal year, the company expects net sales to grow between 7% and 11% over the same period in the prior year, from 144.0 billion to 149.0 billion US dollars. Operating income is expected to be between 10.0 billion and 14.0 billion US dollars, as compared to 7.7 billion US dollars in the second quarter of 2023.

Image Credits: theeyeopener.com

United States Amazon Companies ecommerce Online Quarter Results Results