Amazon.com Inc (NASDAQ:AMZN) reported better-than-expected results for the second quarter, driven by strong demand for the company’s AI-related cloud infrastructure and services unit Amazon Web Services (AWS).
Total revenue was up 13% from the year-ago period at $167.7 billion. This was ahead of Wall Street estimates of $162 billion.
North America sales rose 11% to $100.1 billion, while International segment sales were up 16% at $36.8 billion.
AWS saw growth of 17.5% to $30.9 billion, ahead of estimates of a 17% increase.
Earnings per share increased year-over-year to $1.68 from $1.26, beating estimates of $1.33.
Amazon CEO Andy Jassy highlighted the growing impact of artificial intelligence on customer experience and operational efficiency.
Amazon has rolled out AI-powered products such as Alexa+, a shopping assistant, and AI models like DeepFleet to improve productivity.
“Our AI progress across the board continues to improve our customer experiences, speed of innovation, operational efficiency, and business growth, and I’m excited for what lies ahead,” Jassy said in a statement.
For Q3, Amazon expects revenue in the range of $174 billion and $179.5 billion, or growth of 10% and 13%. This is above estimates of $173.1 billion.
Despite the positive report, Amazon's shares pulled back 3.5% afterhours, likely reflecting profit taking or broader investor caution as global tariffs challenge near-term growth.