Technology

Amazon's third-quarter sales rise 12% to $201.9 billion as operating income jumps to $28.1 billion and AWS grows 39%

Amazon.com, Inc. announced on Thursday 29 October 2026 that third-quarter net sales rose 12% to $201.9 billion and operating income rose to $28.1 billion, a 13.9% operating margin the company calls its highest ever, per Amazon's own third-quarter results release, read in full. AWS segment sales rose 39% to $46.0 billion, a $184 billion annualized run rate and its fastest growth in nearly five years. Net income fell to $20.7 billion, or $1.89 per diluted share, from $21.2 billion a year earlier, a decrease Amazon says was driven primarily by $9.5 billion of pre-tax gains on its Anthropic investments recorded in third-quarter 2025. Barron's reports the sales and per-share figures came in just below Wall Street consensus.

• VerifiedAmazon's net sales increased 12% to $201.9 billion ($201,944 million) in the third quarter of 2026, compared with $180.2 billion in third-quarter 2025; excluding a $0.9 billion unfavourable foreign-exchange impact, sales rose 13%. Operating income increased to $28.1 billion ($28,076 million), compared with $17.4 billion a year earlier — an operating margin of 13.9%, which Amazon calls its highest operating margin ever. Net income decreased to $20.7 billion ($20,685 million), or $1.89 per diluted share, compared with $21.2 billion, or $1.95 per diluted share, in third-quarter 2025; Amazon says the decrease is driven primarily by pre-tax gains of $9.5 billion in third-quarter 2025 included in non-operating income from its investments in Anthropic.
• VerifiedBy segment: North America sales increased 6% to $112.9 billion, with segment operating income of $8.7 billion, compared with $4.8 billion a year earlier. International sales increased 5% to $43.1 billion (up 8% excluding foreign-exchange changes), with operating income of $1.6 billion, compared with $1.2 billion. AWS segment sales increased 39% to $46.0 billion — 39.3% in the release's headline, its fastest growth in nearly five years, to a $184 billion annualized revenue run rate — with AWS operating income of $17.8 billion, compared with $11.4 billion a year earlier.
• VerifiedOperating cash flow increased 29% to $168.3 billion for the trailing twelve months, compared with $130.7 billion a year earlier. Free cash flow decreased to an outflow of $42.4 billion for the trailing twelve months, compared with an inflow of $14.8 billion a year earlier, driven primarily by a year-over-year increase of $94.8 billion in purchases of property and equipment, net of proceeds from sales and incentives — an increase Amazon says primarily reflects investments in artificial intelligence. Purchases of property and equipment in the third quarter alone were $77,259 million, per the release's cash-flow statement.