Amazon (AMZN) reported its first quarter earnings after the bell on Thursday beating on the top and bottom lines but offered lighter than anticipated guidance for its Q2 operating income.
The stock is down -4% after-hours ➡️ For the quarter, Amazon saw earnings per share (EPS) of $1.59 on revenue of $155.7 billion. Wall Street was anticipating EPS of $1.36 and revenue of $155.1 billion, according to Bloomberg consensus estimates. The company reported EPS of $0.98 and revenue of $143.3 billion in Q1 last year. AWS revenue came in at $29.2 billion versus expectations of $29.3 billion. ➡️ For the second quarter, Amazon said it anticipates operating income of between $13 billion and $17.5 billion. Analysts were expecting $17.8 billion. The company saw operating income of $14.7 billion in Q2 2024. ➡️ The company also said it anticipates a 10-basis point impact to its Q2 sales. ➡️ Amazon shares fell more than 4% following the report. ➡️ $AMZN Amazon Q1 FY25: • Revenue +9% Y/Y to $155.7B ($0.6B beat). • Operating margin 12% (+1pp Y/Y). • EPS $1.59 ($0.23 beat). • Q2 Guidance: ~$161.5B ($0.4B beat). ☁️ AWS: • Revenue +17% Y/Y to $29.3B. • Operating margin 39% (+2pp Y/Y). Source: App Economy Insights, Yahoo Finance
UPS has said it will cut 20,000 jobs this year and close more than 70 buildings
as the logistics group seeks to reduce costs and prepare for a halving in package volume from Amazon, its biggest customer. The job cuts will target workers responsible for delivering packages to customers and supporting UPS’s transportation and logistics services, and come after the group last year cut about 14,000 jobs, primarily in management roles. The latest reduction in headcount is part of UPS’s plan to boost efficiency and consolidate its US domestic network after it said in January it had reached an agreement in principle with its “largest customer” to lower its volume by the second half of 2026.
WELLS FARGO + COWEN FLAG AWS DATA CENTER LEASING PAUSE
Both banks say Amazon $AMZN AWS has hit pause on some colocation leasing deals—mainly international. Cowen notes hyperscale demand is cooling a bit, especially in Europe, with Amazon slightly pulling back on U.S. colocation activity too. Wells Fargo heard from multiple sources that AWS is stepping back from ongoing leasing talks, mirroring what’s been seen from Microsoft lately. Source: Wall St Engine
BREAKING: Amazon shareholders request the company explores adds Bitcoin to its treasury.
REMINDER: Microsoft shareholders are set to decide on the firm’s Bitcoin investment proposal this Tuesday, December 10. Source: Dennis Porter @Dennis_Porter, Bitcoin Archive @BTC_Archive
NVIDIA WAS DOWN 4% YESTERDAY BECAUSE BLOOMBERG PUBLISHED AN ARTICLE SAYING THAT $AMZN AMAZON IS COMING FOR THEIR LUNCH
$AMZN $NVDA Source: amit
Amazon is spending billions to make sure it doesn’t fall behind in AI
The company’s $75 billion capital splurge shows no signs of slowing in 2025. Source: Quartr
*AMAZON $AMZN PREPARES FOR LAUNCH OF LOW-COST, TEMU-RIVAL DISCOUNT STORE $PDD
As initially reported back in June, Amazon is preparing for the launch of its new discount online storefront which will compete directly with Chinese e-Commerce rival 'Temu'. Strict "price caps" will be set for merchants, with shockingly low price limits, such as $8 for jewlery and $20 for sofas. Source: Stock Talk on X
After Alphabet $GOOG, it is now the turn of Amazon $AMZN to go nuclear...
It's investing $500 million across 3 new projects: • Building 4 SMRs (small modular reactors) with Energy Northwest • Exploring SMR development with Dominion Energy • Leading SMR developer X-Energy's funding round Source: Stocktwits
