AMZN — Q4 2024 Earnings Call

Consumer Cyclical

Amazon.com Inc. • Reported: 2025-02-06

EPS Actual

$1.86

Est. $1.49 ▲ Beat

Revenue Actual

$187.8B

Est. $187.3B ▲ Beat

Overall Result

Double Beat

EPS + Revenue vs. estimates

Period

Q4 2024

FY2024 • Reported 2025-02-06

Executive Summary

Amazon reported Q4 2024 revenue of $187.8 billion, up 10% YoY, with EPS of $1.86 significantly beating estimates. AWS revenue grew 19% to $28.8 billion with a record operating margin of 37%. The company's operating income reached $21.2 billion, nearly doubling from a year ago. Advertising revenue grew 18% to $17.3 billion.

Key Highlights

AWS positive

AWS grows 19%

AWS revenue hit $28.8B with an operating margin of 37%, as enterprise AI workloads accelerated.

Profitability positive

Operating income doubles

Operating income of $21.2B vs $10.6B a year ago, reflecting efficiency gains across all segments.

Advertising positive

Ad revenue surges 18%

Advertising services revenue grew 18% to $17.3B, making Amazon the 3rd largest ad platform globally.

Guidance negative

Q1 guidance light

Q1 2025 revenue guidance of $151-155.5B was below the $158.5B consensus, causing after-hours volatility.

AI neutral

AI investment acceleration

Amazon plans to spend $100B+ on AI and infrastructure in 2025, driven by AWS AI service demand.

Retail positive

Same-day delivery expansion

Same-day delivery available to 140+ metro areas, driving higher purchase frequency among Prime members.

Direct Quotes

Andy Jassy

CEO • AWS & AI

"AWS continues to be the world's leading cloud provider and is experiencing accelerating growth from AI workloads. Our AI services saw triple-digit revenue growth year-over-year."

Andy Jassy

CEO • Investment

"We plan to invest over $100 billion in capital expenditures in 2025, with the majority going to AWS infrastructure. The opportunity in AI is enormous and we intend to lead."

Brian Olsavsky

CFO • Profitability

"Operating income increased to $21.2 billion, reflecting the cumulative impact of our efficiency initiatives and strong performance across all three segments."

All AMZN Quarters

Q1 2025 →