Amazon (AMZN) Q3 earnings report 2025

Amazon Third-quarter results are scheduled to be announced after the closing bell on Thursday.

Here’s what analysts surveyed by LSEG are looking for:

• Earnings per share: $1.57
• Revenues: $177.8 billion

Wall Street is also looking at other important earnings figures:

• Amazon Web Services: 32.42 billion dollars are expected
• Advert: $17.34 billion is expected

AWS’s growth will once again be a key focus for investors as the company faces increasing pressure from cloud rivals Google And MicrosoftIt also reported quarterly results this week.

Revenue at AWS is expected to grow 18.1% year over year; This corresponds to almost the same growth rate as the second quarter. Google’s cloud revenue grew by 34% in the third quarter, while Microsoft Azure grew by 40%.

AWS stumbled last week due to a prolonged outage that lasted more than 15 hours, resulting in numerous websites being shut down. Microsoft experienced outages to its Azure cloud and 365 services on Wednesday, hours before its scheduled earnings release.

The Amazon unit is also struggling with the perception that it is missing out on highly lucrative AI deals for cloud services.

Anthropic and Google deepened their cloud partnership last week with a deal worth tens of billions of dollars. Meta Signed major cloud deals with Google and Seer in recent months.

Amazon on Wednesday opened its $11 billion artificial intelligence data center called Project Rainier, which was first announced last December and aims to train and run models from Claude chatbot creator Anthropic.

Amazon, which invested $8 billion in Anthropic, said that the startup will use 1 million special Trainium2 chips by the end of 2025.

During last quarter’s earnings conference call, investors grilled Amazon CEO Andy Jassy about AWS’s growth and AI competition.

Jassy reiterated that AWS has a “pretty significant” leadership position in cloud market share, noting that it’s “early” days in the AI ​​industry that continue to be “very heavy” with “a small number of very large frontier models.”

Amazon’s core retail business will also be top of mind for investors as the company prepares for the start of the holiday shopping season. Amazon said earlier this month it plans to hire 250,000 workers to staff its peak season, the same number as in the past two years.

Adobe Analytics recently predicted that online holiday spending in the US will rise 5.3% year over year to $253.4 billion; this was slower than last year, when online sales increased by 8.7% in the same period.

In the third quarter, Amazon held its annual Prime Day deals event. According to Adobe, online spending in the US reached $24.1 billion during a four-day period in July; This exceeded their forecasts and represents year-on-year growth of 30.3%.

Jassy told investors last quarter that President Donald Trump’s changing tariff policies have not reduced demand or increased prices so far this year.

Amazon’s third-quarter sales are expected to grow 11.9% year-over-year, compared to 13% growth in the second quarter.

Analysts surveyed by LSEG predict sales will reach $208.1 billion in the fourth quarter; This represents a growth of 10.8% compared to the previous year.

Amazon launched massive layoffs on Tuesday, cutting nearly 14,000 roles in nearly every aspect of the company. Executives hinted that more cuts could be on the way in the new year as the company pushes to become leaner, cut red tape and invest more in artificial intelligence.

Once the layoffs are completed, they are expected to be the largest corporate cuts in Amazon’s history, CNBC previously reported. Amazon laid off more than 27,000 employees between 2022 and 2023.

Amazon’s shares are up 4.9% so far this year, while the Nasdaq is up nearly 24% over the same period.