Amazon beats by $0.35, beats on revs; guides Q4 revs below consensus (119.57 -1.82)
- Reports Q3 (Sep) earnings of $0.94 per share, $0.35 better than the FactSet Consensus of $0.59; revenues rose 12.6% year/year to $143.08 bln vs the $141.5 bln FactSet Consensus.
- Q3 operating income of $11.19 bln vs prior guidance of $5.5-8.5 bln.
- AWS segment sales rose 12.3% yr/yr to $23.06 bln.
- Advertising Services segment revenue grew +25% CC (constant currency) to $12.06 bln. This compares to +22% CC in Q2, +23% CC in Q1 and +23% CC in Q4.
- Co issues downside guidance for Q4, sees Q4 revs of $160-167 bln vs. $167.14 bln FactSet Consensus.
- Co guides to Q4 operating income of $7-11 bln.
- "We had a strong third quarter as our cost to serve and speed of delivery in our Stores business took another step forward, our AWS growth continued to stabilize, our Advertising revenue grew robustly, and overall operating income and free cash flow rose significantly," said Andy Jassy, Amazon CEO. "The benefits of moving from a single national fulfillment network in the U.S. to eight distinct regions are exceeding our optimistic expectations, and perhaps most importantly, putting us on pace to deliver the fastest delivery speeds for Prime customers in our 29-year history.