Amazon beats Wall Street's overall expectations with $187.8 billion in net sales for the fourth quarter, driven by strong earnings and profits. However, growth in Amazon Web Services (AWS) cloud unit was slightly lower than expected. AWS sales accounted for 15% of Amazon's total sales but contributed more than 50% of the company's overall operating profits.
Key Points
AWS operating profits top $10 billion
AWS sales contribute more than 50% of Amazon's overall operating profits
Amazon's total sales driven by the 2024 holiday shopping season
Pros
Strong net sales of $187.8 billion, up 10%
Earnings of $1.86 per share surpassing expectations
Quarterly profits surpass $20 billion for the first time
Cons
AWS cloud unit growth slightly lower than expected
Amazon shares slipped about 2% in after-hours trading