E-commerce giant Amazon has reported a 10% increase in net sales in the second quarter (Q2) of the fiscal year 2024 (FY24), reaching $147.97bn, compared to the $134.38bn reported in Q2 FY23.
Net sales in the retailer’s North American segment saw a 9% year-on-year (YoY) increase to $90.0bn, while the International segment reported a 7% rise to $31.7bn.
Its operating income also saw a substantial increase, climbing to $14.67bn in Q2 FY24 from $7.68bn in Q2 FY23.
The North American and international segments contributed operating incomes of $5.1bn and $0.3bn respectively over the quarter.
Amazon's net income experienced a significant boost, doubling to $13.48bn in Q2 FY24 from $6.75bn in the same period of the previous year. The retailer reported a net income of $10.4bn in Q1 FY24.
Its earnings per diluted share followed suit, rising from $0.65 in Q2 2023 to $1.26 in the current quarter.
In the first half of FY24, the total net sales of Amazon amounted to $291.29bn, with operational income reaching $29.97bn.
For the first half of FY24, Amazon's net income stood at $23.91bn, or diluted EPS [earnings per share] of $2.24.
Amazon president and CEO Andy Jassy said: “As companies continue to modernise their infrastructure and move to the cloud, while also leveraging new generative AI opportunities, AWS [Amazon Web Services] continues to be customers’ top choice as we have much broader functionality, superior security and operational performance, a larger partner ecosystem and AI capabilities like SageMaker for model builders, Bedrock for those leveraging frontier models, Trainium for those where the cost of compute for training and inference matters, and Q for those wanting the most capable GenAI assistant for not just coding, but also software development and business integration.”
In the third quarter of 2024, Amazon anticipates net sales to be between $154.0bn and $158.5bn, representing an 8% to 11% growth compared with the third quarter of 2023.
The company expects operating income to range between $11.5bn and $15.0bn, compared with $11.2bn in the third quarter of 2023.
The US Consumer Product Safety Commission (CPSC) recently ruled that Amazon is legally responsible for the recall of hundreds of thousands of hazardous products sold on its platform.
