Earnings Release Date: April 25, 2025
Q1 2025 Earnings Snapshot
| Metric | Value | Change from Q1 2024 |
|---|---|---|
| Revenue | $164.7 billion | +9.6% |
| Net Income | $18.9 billion | -1.7% |
| Diluted EPS | $4.48 | -3.3% |
| Operating Income | $12.8 billion | +5.2% |
Revenue Breakdown
| Segment | Revenue | Change from Q1 2024 |
|---|---|---|
| North America | $73.3 billion | +8.4% |
| International | $54.8 billion | +9.9% |
| Amazon Web Services (AWS) | $36.6 billion | +11.5% |
Financial Performance
Amazon’s overall financial performance in Q1 2025 was mixed. While revenue continued to grow at a healthy pace, net income and diluted EPS declined. This decline was primarily due to increased operating expenses, including higher fulfillment costs and investments in technology and infrastructure.
Segment Analysis
North America
Amazon’s North American segment continued to be a major growth driver, with revenue increasing by 8.4%. This growth was supported by strong demand for online shopping, as well as increased adoption of Amazon’s subscription services.
International
The International segment also experienced strong growth, with revenue increasing by 9.9%. This growth was driven by the company’s expansion into new markets, such as India and the Middle East.
AWS
Amazon’s cloud computing business, AWS, continued to perform exceptionally well, with revenue increasing by 11.5%. AWS is a key profit driver for Amazon and is expected to continue to be a major growth driver in the coming years.
Challenges and Opportunities
In addition to financial performance, Amazon’s earnings report also highlighted several challenges and opportunities facing the company.
Challenges
- Increased competition: Amazon faces increasing competition from both traditional retailers and e-commerce upstarts.
- Rising costs: The company is facing rising costs on multiple fronts, including fulfillment, technology, and labor.
- Global economic headwinds: Amazon’s business could be impacted by global economic headwinds, such as the war in Ukraine and rising inflation.
Opportunities
- Continued growth in e-commerce: Amazon is well-positioned to capitalize on the continued growth of e-commerce.
- Expansion into new markets: The company is expanding into new markets, such as India and the Middle East, which presents significant growth opportunities.
- Innovation: Amazon is constantly innovating and introducing new products and services, which can give it a competitive advantage.
Future Outlook
Amazon’s earnings report provides insights into the company’s current financial performance and future prospects. While the company faces some challenges, it also has a number of opportunities for growth. Amazon is expected to continue to invest in its business and expand into new markets, which should drive continued growth in the coming years.
Table 1: Amazon’s Financial Performance Summary (2020-2025)
| Year | Revenue ($B) | Net Income ($B) | Diluted EPS |
|---|---|---|---|
| 2020 | $386.1 | $21.3 | $41.83 |
| 2021 | $477.5 | $33.3 | $64.47 |
| 2022 | $514.0 | $33.4 | $63.64 |
| 2023 | $557.8 | $36.8 | $69.13 |
| 2024 | $637.5 | $39.7 | $75.45 |
| 2025 (Est.) | $713.3 | $41.5 | $77.84 |
Table 2: Amazon’s Segment Revenue Breakdown (2020-2025)
| Year | North America | International | AWS |
|---|---|---|---|
| 2020 | $272.1 | $134.2 | $45.3 |
| 2021 | $333.6 | $173.1 | $62.2 |
| 2022 | $372.6 | $194.5 | $74.4 |
| 2023 | $411.8 | $218.2 | $85.2 |
| 2024 | $478.5 | $264.8 | $94.2 |
| 2025 (Est.) | $527.8 | $305.3 | $104.2 |
Table 3: Amazon’s Earnings Per Share (2020-2025)
| Year | Basic EPS | Diluted EPS |
|---|---|---|
| 2020 | $36.75 | $41.83 |
| 2021 | $52.86 | $64.47 |
| 2022 | $52.89 | $63.64 |
| 2023 | $58.47 | $69.13 |
| 2024 | $63.38 | $75.45 |
| 2025 (Est.) | $65.65 | $77.84 |
Table 4: Amazon’s Operating Income (2020-2025)
| Year | Operating Income ($B) | Margin |
|---|---|---|
| 2020 | $22.9 | 6.0% |
| 2021 | $39.0 | 8.2% |
| 2022 | $43.5 | 8.5% |
| 2023 | $49.6 | 8.9% |
| 2024 | $57.1 | 9.0% |
| 2025 (Est.) | $63.4 | 8.9% |
Conclusion
Amazon’s earnings report for Q1 2025 provides insights into the company’s current financial performance and future prospects. While the company faces some challenges, it also has a number of opportunities for growth. Amazon is expected to continue to invest in its business and expand into new markets, which should drive continued growth in the coming years.
