Amazon (AMZN) Q3 2026 Earnings Report
MX:AMZN Q3 2026 EPS Results
- Actual EPS
- MXN 35.51
- Consensus EPS
- MXN 37.01
- Beat/Miss
- Missed by -MXN 1.50
- One Year Ago EPS
- MXN 36.63
MX:AMZN Q3 2026 Revenue Results
- Actual Revenue
- MXN 3.79T
- Expected Revenue
- MXN 3.80T
- Beat/Miss
- Missed by -MXN 5.23B
- YoY Revenue Growth
- +12.09%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/29/2026
- Time
- After Close
- Conference Call
- Thursday, October 29, 2026
MX:AMZN Upcoming Earnings
Amazon's next earnings date is estimated for February 4, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:AMZN Q3 2026 Earnings Call
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Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly optimistic, led by record overall operating margin, accelerating AWS growth, substantial AI and custom-chip demand, improving retail economics, faster fulfillment, and positive long-term growth expectations. Management also acknowledged foreign exchange, fuel and line haul inflation, lower AI margins, component pricing, advertising timing effects, and delayed Amazon Leo cost capitalization, but these challenges were outweighed by the breadth and strength of the reported performance and outlook.
Company Guidance
For Q4, net sales are expected to be between $240 billion and $247 billion, with the year-over-year impact of changes in foreign exchange rates expected to be a headwind of approximately 60 basis points, and operating income expected to be between $28.5 billion and $33.5 billion; year-over-year advertising growth will return to the high teens in Q4. Amazon expects 2026 cash CapEx of approximately $220 billion, the majority for AWS, and expects to spend meaningfully more in 2027. AWS can grow north of 40% in each of 2027 and in 2028 and be a trillion-dollar revenue business in the next five to 10 years. Amazon Leo’s commercial service is on track to begin initial service this year, with certain costs beginning capitalization in Q1 of next year, including production and launch costs, while the majority of Leo-related costs will continue to be expensed in Q4.
- Record Revenue and Operating MarginQ3 revenue was $201.9 billion, up 12% year-over-year and up 13% excluding foreign exchange. Operating income was $28.1 billion, up 61% year-over-year, with a 13.9% operating margin, Amazon's highest operating margin ever.
- AWS Growth AcceleratedAWS revenue was $46 billion, up 39.3% year-over-year, accelerating for the sixth consecutive quarter and reaching an annualized revenue run rate of $184 billion. AWS added $3.8 billion in quarter-over-quarter revenue, driven by both core and AI services.
- AWS Backlog and Capacity DemandAWS backlog reached $578 billion, growing triple digits year-over-year and described as well-diversified. Amazon is installing an AI accelerator about every 14 seconds, while customers are absorbing capacity almost as quickly. Overall demand for AWS capacity remains exceptionally strong.
- AWS Profitability and EfficiencyAWS operating income was $17.8 billion, with a 38.7% operating margin. Management attributed profitability to disciplined efficiency gains, capacity optimization, fixed-cost management, custom chips, custom networking, and software and process improvements.
- Long-Term AWS Growth OutlookManagement said AWS could grow north of 40% in each of 2027 and 2028 and become a trillion-dollar revenue business in the next five to 10 years. AWS has good visibility into large customer capacity requirements for 2027, 2028, and some of 2029.
- Strong Bedrock AdoptionFortune 500 companies spent nearly 7x more on Bedrock year-over-year, while total Bedrock token volume grew nearly 17x year-over-year. Bedrock was described as the fastest-growing multi-billion-dollar service in AWS history, and management said its opportunity could be as large as EC2.
- Expansion of AI and Agent ServicesTens of thousands of customers use AgentCore, deploying 2x more agents with it in Q3 than in the prior three quarters. Kiro, Amazon Connect, AWS Transform, and Amazon Quick were all described as gaining customer momentum, while OpenAI, Kimi, GLM, and SpaceX models were added to Bedrock.
- AI Security InnovationAWS Continuum is being used by customers including Capital One, IBM, Infor, Luminate, and Robinhood to discover, prioritize, validate, and remediate code vulnerabilities at machine speed. Amazon announced integration with Anthropic's Claude Code, OpenAI's Codex, and AWS's Kiro, with customer interest described as exceeding that for any prior new security service.
- Custom Chips MomentumAmazon's chips business continued to grow at triple-digit percentages year-over-year, while revenue commitments for Graviton and Trainium each increased more than 20x year-over-year. Graviton offers up to 30%-40% better price performance than alternatives, and customers using custom silicon saved more than $2 billion in Q3 alone.
- Trainium and Graviton DemandBacklog for prior-generation Graviton instances more than doubled quarter-over-quarter after the Graviton5 launch, and short-term capacity for prior-generation Trainium instances sold at a premium compared with the first half of the year. Amazon intends to make Trainium available outside AWS late in 2027.
- Retail Scale and Unit GrowthYear-to-date units grew nearly 15% year-over-year on a base of more than 30 billion items sold in the prior year. Amazon added more than $90 billion in gross sales over the trailing 12 months and said it was adding about double the gross sales per quarter of its next-largest U.S. competitor.
- Improved North America and International MarginsNorth America revenue was $112.9 billion, up 6% year-over-year, with operating income of $8.7 billion and a 7.7% operating margin. International revenue was $43.1 billion, up 8% excluding foreign exchange, with operating income of $1.6 billion and a 3.7% operating margin. Each segment expanded operating margins by nearly 10 percentage points over the past few years.
- Delivery and Fulfillment ProgressAmazon had its fastest Q3 ever globally and delivered more than 1.5 billion items to Prime customers same day or overnight in Q3. Amazon Now was available in over 450 towns and cities, and items ordered through the service increased 10x year-over-year.
- Lower Cost to Serve Despite Transportation HeadwindsAmazon lowered overall cost to serve in Q3 through better inventory placement, shorter shipping distances, and package consolidation. Shipping costs increased 11% year-over-year versus a 12% increase in units, and excluding fuel and line haul inflation, shipping costs grew 8%, approximately 400 basis points slower than unit growth.
- Grocery and Pharmacy GrowthFresh groceries and Everyday Essentials grew about three times faster than the rest of the store and represented about half of all units sold. Gross sales for groceries and Everyday Essentials reached nearly $250 billion over the trailing 12 months. Amazon Pharmacy customers increased over 60% year-over-year, repeat customers grew more than 50%, and Amazon Pharmacy was ranked the top mail-order pharmacy by J.D. Power for the third consecutive year.
- Alexa for Shopping AdoptionMore than 400 million customers used Alexa for Shopping in the last 12 months, with customer interactions up 570% year-over-year. U.S. customers using Alexa for Shopping spent 50% more per order than customers who did not use it.
- Advertising and Prime Video MomentumAdvertising revenue was $19.6 billion in Q3, up 12% year-over-year, and management expects year-over-year advertising growth to return to the high teens in Q4. Prime Video reached a revenue run rate in the tens of billions of dollars and was described as profitable in its own right.
- Robotics and Safety ProgressAmazon has more than 1 million robots in its fulfillment network, doubled its fleet of robotic arms such as Cardinal and Sparrow in 2026, and said fulfillment-network safety numbers were at record lows. Robotics was described as delivering measurable gains in productivity and employee safety.
- Continued AI and Infrastructure InvestmentQ3 cash CapEx was $75.9 billion, primarily related to AWS and AI. Amazon continues to expect 2026 cash CapEx of approximately $220 billion, with the majority for AWS, and expects to spend meaningfully more in 2027 because of strong customer demand and the opportunity for long-term revenue, free cash flow, and return on invested capital.
- Q4 Revenue and Operating Income GuidanceQ4 net sales are expected to be between $240 billion and $247 billion, and Q4 operating income is expected to be between $28.5 billion and $33.5 billion.
- Amazon Leo Service ProgressAmazon Leo remains on track to begin initial service this year, and Amazon said it is ready to serve customers during the holiday season and support customers building with AWS.
MX:AMZN Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 04, 2027 | 2026 (Q4) | 45.39- | 36.63 | ― | ― |
| Oct 29, 2026 | 2026 (Q3) | 37.0135.51 | 36.63 | -3.08% (-1.13) | |
| Jul 30, 2026 | 2026 (Q2) | 34.25108.02 | 31.56 | 242.26% (+76.46) | |
| Apr 29, 2026 | 2026 (Q1) | 30.6852.23 | 29.87 | 74.84% (+22.36) | |
| Feb 05, 2026 | 2025 (Q4) | 37.0136.63 | 34.94 | 4.84% (+1.69) | |
| Oct 30, 2025 | 2025 (Q3) | 29.4636.63 | 26.87 | 36.36% (+9.77) | |
| Jul 31, 2025 | 2025 (Q2) | 24.9731.56 | 23.67 | 33.33% (+7.89) | |
| May 01, 2025 | 2025 (Q1) | 25.6629.87 | 18.41 | 62.24% (+11.46) | |
| Feb 06, 2025 | 2024 (Q4) | 27.9234.94 | 18.79 | 86.00% (+16.16) | |
| Oct 31, 2024 | 2024 (Q3) | 21.4226.87 | 17.66 | 52.13% (+9.21) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed