Amazon beat reported mixed financial results in the fourth quarter on Thursday, with revenue surpassing Wall Street estimates, while earnings slightly missed projections
During Amazon’s earnings call, CEO Andy Jassy touted the e-commerce segment’s ability to deliver more essentials to more customers as key growth drivers during the fourth quarter.
“For the third year in a row, globally, in 2025, we achieved both our fastest-ever delivery speeds for Prime members, while also reducing our cost to serve,” Jassy said.
However, shares tumbled more than 8% in after hours trading on the company’s forecasted capital expenditures of about $200 billion for 2026, higher than expected.
The e-commerce and cloud services giant’s (Nasdaq: AMZN) net sales for during the quarter rose 14% year-over-year to $213.4 billion, exceeding estimates. Net income was $21.2 billion ($1.95 per diluted share), an increase from the previous year, although the $1.95 EPS missed analyst expectations.
In North America sales — the company’s largest e-commerce segment — increased 10% year-over-year to $127.1 billion. Operating income climbed to $25 billion, supported in part by improved fulfillment-network efficiency.
In the U.S., Prime members received more than 8 billion items the same or next day in 2025, up over 30% year over year, with groceries and everyday essentials accounting for roughly half of that volume. Same-day delivery remains Amazon’s fastest-growing delivery option, used by nearly 100 million U.S. customers last year.
“Our regionalization has improved local inventory placement, leading to faster delivery at lower costs,” Chief Financial Officer Brian Wachter said, adding that the company continues refining how inventory is positioned to reduce distance traveled and package handling across the network.”
Amazon said it expects first-quarter 2026 net sales of $173.5 billion to $178.5 billion, representing 11% to 15% year-over-year growth, including a roughly 180-basis-point benefit from foreign exchange.
Operating income is forecast at $16.5 billion to $21.5 billion, compared with $18.4 billion a year earlier, reflecting about $1 billion in higher Amazon Leo-related costs as satellite operations scale, along with continued investment in quick-commerce offerings and more aggressive pricing in international stores.
Amazon said it plans to invest about $200 billion in capital expenditures across the company in 2026, a sharp increase from roughly $131 billion spent in 2025, underscoring its aggressive push to expand infrastructure capacity.
The bulk of that spending is expected to go toward data centers, fulfillment operations, delivery infrastructure and automation.
“We see strong demand for these services, and we continue to like the investments in this area,” Wachter said during the call. “I would add that, you know, if you look at the capital we’re spending and intend to spend this year, it’s predominantly in AWS, and some of it is for our core workloads, which are our non-AI workloads, because they’re growing at a faster rate than we anticipated. But most of it is in AI, and we just have a lot of growth and a lot of demand.”
| Amazon | Q4/2025 | Q4/2024 | Y/Y % Change |
| Net revenue | $213.4B | $187.8B | 14% |
| Operating income | $25B | $21.2B | 18% |
| North American sales | $127.1B | $115.6B | 10% |
| International sales | $50.7B | $43.4B | 11% |
| Adjusted earnings per share | $1.95 | $1.86 | 4.8% |
Key fourth-quarter financial metrics.
