Amazon Q3 2023 Earnings: Net Sales Rise 13% to $143.1 Billion

Amazon.com Inc (NASDAQ:AMZN) reports strong Q3 2023 earnings, with increased net sales, operating income, and operating cash flow.

In its third quarter earnings report, Amazon.com Inc (NASDAQ:AMZN) showcased impressive performance, with notable advancements in net sales, operating income, and net income. The company reported a 13% rise in net sales to $143.1 billion, compared to $127.1 billion in the same period last year. Excluding the favorable impact of $1.4 billion from year-over-year changes in foreign exchange rates, net sales increased by 11% compared to Q3 2022.

The North America segment experienced an 11% increase in sales year-over-year, amounting to $87.9 billion. The International segment also saw a 16% rise in sales year-over-year, reaching $32.1 billion (or 11% excluding changes in foreign exchange rates). Additionally, the AWS segment achieved a 12% increase in sales year-over-year, totaling $23.1 billion.

Operating income for the third quarter surged to $11.2 billion, compared to $2.5 billion in Q3 2022. Net income also experienced substantial growth, reaching $9.9 billion in the third quarter, or $0.94 per diluted share, compared to $2.9 billion, or $0.28 per diluted share, in Q3 2022. Moreover, operating cash flow displayed a remarkable 81% increase, amounting to $71.7 billion for the trailing twelve months, in comparison to $39.7 billion for the trailing twelve months ended September 30, 2022.

Key financial tables further highlight the company's progress, with free cash flow improving to an inflow of $21.4 billion for the trailing twelve months, in contrast to an outflow of $19.7 billion for the trailing twelve months ended September 30, 2022. Additionally, free cash flow less principal repayments of finance leases and financing obligations demonstrated improvement, with an inflow of $15.9 billion for the trailing twelve months, compared to an outflow of $28.5 billion for the trailing twelve months ended September 30, 2022.

Overall, Amazon.com Inc (NASDAQ:AMZN) delivered a strong performance in Q3 2023, showcasing significant growth in net sales, operating income, and net income. The company's AWS segment played a pivotal role in driving these positive financial outcomes. Furthermore, the substantial increase in operating cash flow indicates a robust financial position for the company.

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