Amazon reported fourth-quarter net sales of $187.8 billion, representing a 10% increase year-over-year. Earnings per share reached $1.86, surpassing analyst expectations. The company cited its most successful holiday shopping season to date as a primary driver for online store sales.
Amazon Web Services (AWS) revenue grew nearly 19% to $28.8 billion. This figure slightly missed the market consensus of $28.87 billion. Amazon shares declined more than 4% in extended trading following a weak first-quarter forecast.
The company projects first-quarter revenue between $151 billion and $155.5 billion. This guidance fell short of the $158.6 billion analyst estimate. Management attributed the cautious outlook to anticipated unfavorable foreign exchange rates.
Amazon also signaled a significant increase in capital expenditures for 2026. The company intends to direct these investments toward artificial intelligence initiatives within the AWS division.