- Amazon‘s net sales for Q2 reached $167.70 billion, surpassing estimates of $162.15 billion with a year-on-year growth of 13%.
- Online store sales hit $61.49 billion, exceeding expectations of $59.13 billion and recording an 11% year-on-year increase.
- Physical stores reported sales of $5.60 billion, above the estimated $5.49 billion and up 7.5% year-on-year.
- Third-party seller services generated $40.35 billion in sales, surpassing the $38.97 billion estimate with an 11% year-on-year boost.
- Subscription services recorded $12.21 billion in sales, beating the $11.92 billion estimate.
- Amazon Web Services (AWS) sales stood at $30.87 billion, slightly above the forecast of $30.77 billion, marking a 17% year-on-year increase.
- North America’s net sales were $100.07 billion, an 11% year-on-year rise, outperforming the $97.36 billion forecast.
- International sales reached $36.76 billion, exceeding the $34.21 billion estimate and growing 16% year-on-year.
- Year-on-year seller unit mix increased to 62% from 61%, slightly above the 61.5% estimate.
- Amazon‘s Q2 earnings per share (EPS) was $1.68, beating the previous quarter’s $1.59 and surpassing the $1.33 estimate.
- Operating income reached $19.17 billion, a 31% year-on-year increase, above the estimate of $17 billion.
- The operating margin improved to 11.4% from 9.9% year-on-year, outstripping the 10.4% estimate.
- North America’s operating margin rose to 7.5%, compared to 5.6% year-on-year and above the 5.78% estimate.
- International operating margin climbed to 4.1% from 0.9% year-on-year, surpassing the 1.87% estimate.
- Amazon‘s fulfillment expenses grew 10% year-on-year, reaching $25.98 billion, aligning closely with the $25.74 billion estimate.
- Amazon‘s shares increased by 2.2% in post-market trading, reaching $239.25.
- The company expects Q3 operating income to range between $15.5 billion and $20.5 billion, compared to $17.4 billion in Q3 2024.
- Q3 net sales are projected to be between $174.0 billion and $179.5 billion, indicating growth of 10% to 13% over Q3 2024.
Amazon on Smartkarma
Analyst coverage of Amazon on Smartkarma provides diverse insights into the company’s performance and strategic shifts. Caixin Global‘s report discusses Amazon‘s decision to close its Shanghai AI lab due to “strategic adjustments between China and the United States,” reflecting a bearish sentiment on the company’s international operations. In contrast, Baptista Research‘s analysis highlights Amazon‘s strong first-quarter performance in 2025, with $155.7 billion in revenue and a net profit of $17.1 billion, painting a bullish outlook on the company’s financial health.
Furthermore, MBI Deep Dives notes the steady growth of Amazon‘s ad revenue and the deceleration of AWS growth in the first quarter of 2025. On a different note, Brian Freitas discusses upcoming capping changes for select sector indices, noting a significant potential flow of US$13 billion trade, with Amazon.com listed among the companies experiencing large inflows. Baptista Research also points out Amazon‘s strong fourth-quarter performance in 2024, driven by product expansion and improved delivery services, emphasizing the company’s continuous growth trajectory and operational efficiency.
A look at Amazon Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Smartkarma’s Smart Scores provide insight into Amazon‘s long-term outlook based on key factors. With a strong Growth score of 5 and Momentum score of 5, Amazon is positioned for robust expansion and market performance. The Growth score highlights Amazon‘s potential for revenue and earnings growth, while the Momentum score indicates strong upward price trends. Additionally, Amazon demonstrates resilience with a score of 3, showcasing its ability to weather economic challenges. However, the company scores lower in Value and Dividend at 2 and 1 respectively. Despite this, Amazon‘s dominance in e-commerce and diverse product offerings suggest a promising future in the online retail space.
Amazon.com, Inc. is an online retail giant that offers a vast array of products to customers. From books to electronics to home and garden items, Amazon provides a one-stop shopping experience. The company also offers personalized services, convenient online payment options, and direct shipping to enhance customer satisfaction. With a strong emphasis on growth and momentum, Amazon‘s overall outlook appears positive, reflecting its continuous innovation and market adaptability. While its Value and Dividend scores are lower, Amazon‘s established presence and customer-centric approach solidify its position as a key player in the e-commerce industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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