Amazon reported third‑quarter 2025 revenue of $180.2 billion, up 13% year‑over‑year and 12% excluding foreign‑exchange effects, compared with $158.9 billion in Q3 2024. Earnings per share were $1.95, beating the consensus estimate of $1.57. The company’s Amazon Web Services unit generated $33 billion in revenue, a 20.2% increase from the same period last year, and remains the fastest‑growing segment in nearly three years.
Management guided for fourth‑quarter revenue between $206 billion and $213 billion and operating income between $21 billion and $26 billion. The guidance reflects a continued acceleration in AWS demand driven by AI workloads and core infrastructure services. Amazon also raised its full‑year capital‑expenditure forecast to $125 billion, up from $118 billion, to support its expanding data‑center footprint.
During the earnings call, Amazon disclosed a plan to cut 14,000 corporate positions, with an estimated $1.8 billion in severance costs. CEO Andy Jassy said the layoffs were driven by a cultural shift and a need to streamline the organization, rather than financial pressure or AI cost savings. The company also highlighted its AI investments, including the $11 billion Project Rainier data‑center campus in Indiana and the use of custom Trainium chips for training and inference.
The company’s net income was boosted by a $9.5 billion pre‑tax gain from its investment in Anthropic, which offset special charges such as the $1.5 billion FTC settlement and severance costs. Q2 2025 revenue was $167.7 billion and EPS was $1.68, providing a quarter‑over‑quarter comparison for investors.
Amazon’s AWS remains the largest cloud provider by market share, but faces strong competition from Microsoft Azure and Google Cloud, which grew 40% and 34% respectively in recent quarters. The company’s continued investment in AI infrastructure, including the Project Rainier campus and Trainium chips, is intended to maintain its competitive edge in the rapidly expanding AI services market.
Free cash flow for the trailing twelve months fell to $14.8 billion, largely due to increased capital expenditures for property and equipment.
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