Amazon.com Announces Second Quarter Results
SEATTLE--( BUSINESS WIRE)--Amazon.com, Inc. (NASDAQ: AMZN) today announced financial results for its second quarter ended June 30, 2026.
“AWS is booming, growing 36.7% year-over-year in Q2—our fastest growth in 18 quarters—and our AI and Chips businesses each eclipsed run rates of more than $25 billion,” said Andy Jassy, President and CEO, Amazon. “In Stores, we again set record delivery speeds for Prime members in the first half of the year—over 40% more items delivered same-day or overnight, with Grocery and Everyday Essentials growing meaningfully faster than the rest of the business. And, Advertising had another strong quarter with 26% year-over-year growth. There’s a lot to be excited about, and we have much more coming for customers in the second half of the year and beyond.”
Some other highlights since the company’s last earnings announcement include that Amazon:
Financial Guidance
The following forward-looking statements reflect Amazon.com’s expectations as of July 30, 2026, and are subject to substantial uncertainty. Our results are inherently unpredictable and may be materially affected by many factors, such as fluctuations in foreign exchange rates and energy prices, changes in global economic and geopolitical conditions, tariff and trade policies, resource and supply volatility, including for memory chips, and customer demand and spending (including the impact of recessionary fears), inflation, interest rates, regional labor market constraints, world events, the rate of growth of the internet, online commerce, cloud services, and new and emerging technologies, and the various factors detailed below.
Third Quarter 2026 Guidance
Conference Call Information
A conference call will be webcast live today at 2:00 p.m. PT/5:00 p.m. ET, and will be available for at least three months at amazon.com/ir. This call will contain forward-looking statements and other material information regarding the Company’s financial and operating results.
Forward-Looking Statements
These forward-looking statements are inherently difficult to predict. Actual results and outcomes could differ materially for a variety of reasons, including, in addition to the factors discussed above, the amount that Amazon.com invests in new business opportunities and the timing of those investments, the mix of products and services sold to customers, the mix of net sales derived from products as compared with services, the extent to which we owe income or other taxes, competition, management of growth, potential fluctuations in operating results, international growth and expansion, the outcomes of claims, litigation, government investigations, and other proceedings, fulfillment, sortation, delivery, and data center optimization, risks of inventory management, variability in demand, the degree to which the Company enters into, maintains, and develops commercial agreements, proposed and completed acquisitions and strategic transactions, payments risks, and risks of fulfillment throughput and productivity. Other risks and uncertainties include, among others, risks related to new products, services, and technologies, security incidents, system interruptions, government regulation and taxation, and fraud. In addition, global economic and geopolitical conditions and additional or unforeseen circumstances, developments, or events may give rise to or amplify many of these risks. More information about factors that potentially could affect Amazon.com’s financial results is included in Amazon.com’s filings with the Securities and Exchange Commission (“SEC”), including its most recent Annual Report on Form 10-K and subsequent filings.
Additional Information
Our investor relations website is amazon.com/ir and we encourage investors to use it as a way of easily finding information about us. We promptly make available on this website, free of charge, the reports that we file or furnish with the SEC, corporate governance information (including our Code of Business Conduct and Ethics), and select press releases, which may contain material information about us, and you may subscribe to be notified of new information posted to this site.
About Amazon
Amazon is guided by four principles: customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking. Amazon strives to be Earth’s Most Customer-Centric Company, Earth’s Best Employer, and Earth’s Safest Place to Work. Customer reviews, 1-Click shopping, personalized recommendations, Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing, Kindle, Career Choice, Fire tablets, Fire TV, Amazon Echo, Alexa, Just Walk Out technology, Amazon Studios, and The Climate Pledge are some of the things pioneered by Amazon. For more information, visit amazon.com/about and follow @AmazonNews.
AMAZON.COM, INC.
Consolidated Statements of Cash Flows
(in millions)
(unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
Twelve Months Ended
June 30,
2025
2026
2025
2026
2025
2026
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF PERIOD
$
69,893
$
104,692
$
82,312
$
90,106
$
71,673
$
61,453
OPERATING ACTIVITIES:
Net income
18,164
62,647
35,291
92,902
70,623
135,281
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization of property and equipment and capitalized content costs, operating lease assets, and other
15,227
19,988
29,489
38,933
58,562
75,200
Stock-based compensation
6,534
6,038
10,223
10,070
20,551
19,314
Non-operating expense (income), net
(1,258
)
(53,381
)
(4,075
)
(69,013
)
(4,702
)
(79,818
)
Deferred income taxes
11
17,691
518
30,489
(2,407
)
41,441
Changes in operating assets and liabilities:
Inventories
(4,054
)
(1,818
)
(5,276
)
(196
)
(5,851
)
2,078
Accounts receivable, net and other
(1,125
)
(8,204
)
122
(13,954
)
(4,602
)
(21,409
)
Other assets
(2,971
)
(4,717
)
(6,373
)
(8,528
)
(15,100
)
(17,787
)
Accounts payable
7,058
9,442
(1,985
)
705
6,264
13,921
Accrued expenses and other
(4,952
)
(2,018
)
(9,013
)
(10,063
)
(4,842
)
(6,069
)
Unearned revenue
(119
)
(281
)
609
74
2,641
(749
)
Net cash provided by (used in) operating activities
32,515
45,387
49,530
71,419
121,137
161,403
INVESTING ACTIVITIES:
Purchases of property and equipment
(32,183
)
(54,208
)
(57,202
)
(98,411
)
(107,656
)
(173,028
)
Proceeds from property and equipment sales and incentives
815
1,132
1,579
2,101
4,703
4,021
Acquisitions, net of cash acquired, non-marketable investments, and other, net
(1,700
)
(24,359
)
(1,652
)
(39,767
)
(4,809
)
(41,956
)
Sales and maturities of marketable securities
11,441
24,196
19,178
41,882
30,924
67,090
Purchases of marketable securities
(17,797
)
(26,006
)
(31,130
)
(49,262
)
(46,731
)
(72,902
)
Net cash provided by (used in) investing activities
(39,424
)
(79,245
)
(69,227
)
(143,457
)
(123,569
)
(216,775
)
FINANCING ACTIVITIES:
Proceeds from short-term debt, and other
2,093
9,368
3,908
15,386
8,187
20,798
Repayments of short-term debt, and other
(1,392
)
(9,573
)
(3,474
)
(15,682
)
(7,901
)
(20,634
)
Proceeds from long-term debt
—
13,557
746
66,998
746
81,925
Repayments of long-term debt
(2,751
)
(2,752
)
(2,751
)
(2,752
)
(7,434
)
(5,022
)
Principal repayments of finance leases
(411
)
(395
)
(821
)
(863
)
(1,556
)
(1,599
)
Principal repayments of financing obligations
(78
)
(59
)
(194
)
(174
)
(694
)
(308
)
Net cash provided by (used in) financing activities
(2,539
)
10,146
(2,586
)
62,913
(8,652
)
75,160
Foreign currency effect on cash, cash equivalents, and restricted cash
1,008
(53
)
1,424
(54
)
864
(314
)
Net increase (decrease) in cash, cash equivalents, and restricted cash
(8,440
)
(23,765
)
(20,859
)
(9,179
)
(10,220
)
19,474
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD
$
61,453
$
80,927
$
61,453
$
80,927
$
61,453
$
80,927
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest on debt, net of capitalized interest
$
523
$
736
$
759
$
1,010
$
1,668
$
1,709
Cash paid for operating leases
3,758
3,489
7,320
7,804
13,485
15,522
Cash paid for interest on finance leases
72
85
143
187
284
339
Cash paid for interest on financing obligations
52
50
107
126
212
215
Cash paid for income taxes, net of refunds
4,761
2,655
5,638
3,978
11,788
6,635
Assets acquired under operating leases
4,621
7,670
8,942
13,909
16,702
24,897
Property and equipment acquired under finance leases, net of remeasurements and modifications
937
563
991
2,128
1,622
4,048
Increase (decrease) in property and equipment acquired but not yet paid
(1,600
)
10,700
1,508
20,620
5,376
29,267
AMAZON.COM, INC.
Consolidated Statements of Operations
(in millions, except per share data)
(unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
2025
2026
2025
2026
Net product sales
$
68,246
$
77,602
$
132,216
$
148,906
Net service sales
99,456
123,004
191,153
233,219
Total net sales
167,702
200,606
323,369
382,125
Operating expenses:
Cost of sales
80,809
95,778
157,785
183,241
Fulfillment
25,976
29,633
50,569
56,922
Technology and infrastructure
27,166
33,158
50,160
62,725
Sales and marketing
11,416
11,698
21,179
22,012
General and administrative
2,965
2,788
5,593
5,375
Other operating expense (income), net
199
90
507
537
Total operating expenses
148,531
173,145
285,793
330,812
Operating income
19,171
27,461
37,576
51,313
Interest income
1,085
1,295
2,151
2,430
Interest expense
(516
)
(1,314
)
(1,057
)
(2,114
)
Other income (expense), net
1,117
53,415
3,866
69,062
Total non-operating income
1,686
53,396
4,960
69,378
Income before income taxes
20,857
80,857
42,536
120,691
Provision for income taxes
(2,678
)
(18,199
)
(7,231
)
(27,759
)
Equity-method investment activity, net of tax
(15
)
(11
)
(14
)
(30
)
Net income
$
18,164
$
62,647
$
35,291
$
92,902
Basic earnings per share
$
1.71
$
5.82
$
3.32
$
8.64
Diluted earnings per share
$
1.68
$
5.75
$
3.27
$
8.53
Weighted-average shares used in computation of earnings per share:
Basic
10,637
10,769
10,620
10,756
Diluted
10,806
10,903
10,800
10,889
AMAZON.COM, INC.
Consolidated Statements of Comprehensive Income
(in millions)
(unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
2025
2026
2025
2026
Net income
$
18,164
$
62,647
$
35,291
$
92,902
Other comprehensive income (loss):
Foreign currency translation adjustments, net of tax of $(142), $(66), $(208), and $(79)
3,314
(799
)
4,849
(1,563
)
Unrealized gains (losses) on net investment hedging instruments, net of tax of $0, $(69), $0, and $(45)
—
229
—
144
Available-for-sale debt securities:
Change in net unrealized gains (losses), net of tax of $(12), $(13,695), $(23), and $(14,035)
40
41,988
77
42,814
Less: reclassification adjustment for net losses (gains) included in “Other income (expense), net,” net of tax of $5, $0, $814, and $1,142
(17
)
—
(2,471
)
(3,337
)
Net change
23
41,988
(2,394
)
39,477
Other, net of tax of $(1), $1, $0, and $(1)
(3
)
1
(1
)
(1
)
Total other comprehensive income (loss)
3,334
41,419
2,454
38,057
Comprehensive income
$
21,498
$
104,066
$
37,745
$
130,959
AMAZON.COM, INC.
Segment Information
(in millions)
(unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
2025
2026
2025
2026
North America
Net sales
$
100,068
$
116,177
$
192,955
$
220,320
Operating expenses
92,551
107,054
179,597
202,930
Operating income
$
7,517
$
9,123
$
13,358
$
17,390
International
Net sales
$
36,761
$
42,197
$
70,274
$
81,986
Operating expenses
35,267
40,480
67,763
78,845
Operating income
$
1,494
$
1,717
$
2,511
$
3,141
AWS
Net sales
$
30,873
$
42,232
$
60,140
$
79,819
Operating expenses
20,713
25,611
38,433
49,037
Operating income
$
10,160
$
16,621
$
21,707
$
30,782
Consolidated
Net sales
$
167,702
$
200,606
$
323,369
$
382,125
Operating expenses
148,531
173,145
285,793
330,812
Operating income
19,171
27,461
37,576
51,313
Total non-operating income
1,686
53,396
4,960
69,378
Provision for income taxes
(2,678
)
(18,199
)
(7,231
)
(27,759
)
Equity-method investment activity, net of tax
(15
)
(11
)
(14
)
(30
)
Net income
$
18,164
$
62,647
$
35,291
$
92,902
Segment Highlights:
Y/Y net sales growth:
North America
11
%
16
%
9
%
14
%
International
16
15
10
17
AWS
17
37
17
33
Consolidated
13
20
11
18
Net sales mix:
North America
60
%
58
%
60
%
58
%
International
22
21
22
21
AWS
18
21
18
21
Consolidated
100
%
100
%
100
%
100
%
AMAZON.COM, INC.
Consolidated Balance Sheets
(in millions, except per share data)
December 31, 2025
June 30, 2026
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents
$
86,810
$
78,213
Marketable securities
36,219
44,775
Inventories
38,325
38,184
Accounts receivable, net and other
67,729
88,092
Total current assets
229,083
249,264
Property and equipment, net
357,025
446,046
Operating leases
86,054
92,743
Goodwill
23,273
23,504
Other assets
122,607
284,132
Total assets
$
818,042
$
1,095,689
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable
$
121,909
$
147,440
Accrued expenses and other
75,520
73,406
Unearned revenue
20,576
20,428
Total current liabilities
218,005
241,274
Long-term lease liabilities
87,339
94,338
Long-term debt
65,648
128,894
Other long-term liabilities
35,985
79,563
Commitments and contingencies
Stockholders’ equity:
Preferred stock ($0.01 par value; 500 shares authorized; no shares issued or outstanding)
—
—
Common stock ($0.01 par value; 100,000 shares authorized; 11,246 and 11,298 shares issued; 10,731 and 10,783 shares outstanding)
112
113
Treasury stock, at cost
(7,837
)
(7,837
)
Additional paid-in capital
140,024
149,619
Accumulated other comprehensive income (loss)
28,230
66,287
Retained earnings
250,536
343,438
Total stockholders’ equity
411,065
551,620
Total liabilities and stockholders’ equity
$
818,042
$
1,095,689
AMAZON.COM, INC.
Supplemental Financial Information and Business Metrics
(in millions, except per share data)
(unaudited)
Q1 2025
Q2 2025
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Y/Y %
Change
Cash Flows and Shares
Operating cash flow -- trailing twelve months (TTM)
$
113,903
$
121,137
$
130,691
$
139,514
$
148,531
$
161,403
33
%
Operating cash flow -- TTM Y/Y growth
15
%
12
%
16
%
20
%
30
%
33
%
N/A
Purchases of property and equipment, net of proceeds from sales and incentives -- TTM
$
87,978
$
102,953
$
115,903
$
128,320
$
147,299
$
169,007
64
%
Free cash flow -- TTM (1)
$
25,925
$
18,184
$
14,788
$
11,194
$
1,232
$
(7,604
)
(142
)%
Common shares and stock-based awards outstanding
10,876
10,952
10,955
10,953
10,949
11,027
1
%
Common shares outstanding
10,613
10,660
10,687
10,731
10,754
10,783
1
%
Stock-based awards outstanding
263
292
268
222
195
244
(16
)%
Stock-based awards outstanding -- % of common shares outstanding
2.5
%
2.7
%
2.5
%
2.1
%
1.8
%
2.3
%
N/A
Results of Operations
Worldwide (WW) net sales
$
155,667
$
167,702
$
180,169
$
213,386
$
181,519
$
200,606
20
%
WW net sales -- Y/Y growth, excluding F/X
10
%
12
%
12
%
12
%
15
%
20
%
N/A
WW net sales -- TTM
$
650,313
$
670,038
$
691,330
$
716,924
$
742,776
$
775,680
16
%
WW net sales -- TTM Y/Y growth, excluding F/X
11
%
11
%
11
%
12
%
13
%
15
%
N/A
Operating income
$
18,405
$
19,171
$
17,422
$
24,977
$
23,852
$
27,461
43
%
F/X impact -- favorable (unfavorable)
$
53
$
153
$
129
$
23
$
(33
)
$
(105
)
N/A
Operating income -- Y/Y growth (decline), excluding F/X
20
%
30
%
(1
)%
18
%
30
%
44
%
N/A
Operating margin -- % of WW net sales
11.8
%
11.4
%
9.7
%
11.7
%
13.1
%
13.7
%
N/A
Operating income -- TTM
$
71,691
$
76,190
$
76,201
$
79,975
$
85,422
$
93,712
23
%
Operating income -- TTM Y/Y growth, excluding F/X
51
%
40
%
25
%
16
%
19
%
23
%
N/A
Operating margin -- TTM % of WW net sales
11.0
%
11.4
%
11.0
%
11.2
%
11.5
%
12.1
%
N/A
Net income
$
17,127
$
18,164
$
21,187
$
21,192
$
30,255
$
62,647
245
%
Net income per diluted share
$
1.59
$
1.68
$
1.95
$
1.95
$
2.78
$
5.75
242
%
Net income -- TTM
$
65,944
$
70,623
$
76,482
$
77,670
$
90,798
$
135,281
92
%
Net income per diluted share -- TTM
$
6.13
$
6.55
$
7.08
$
7.17
$
8.37
$
12.44
90
%
(1)
Free cash flow is cash flow from operations reduced by “Purchases of property and equipment, net of proceeds from sales and incentives.”
AMAZON.COM, INC.
Supplemental Financial Information and Business Metrics
(in millions)
(unaudited)
Q1 2025
Q2 2025
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Y/Y %
Change
Segments
North America Segment:
Net sales
$
92,887
$
100,068
$
106,267
$
127,083
$
104,143
$
116,177
16
%
Net sales -- Y/Y growth, excluding F/X
8
%
11
%
11
%
10
%
12
%
16
%
N/A
Net sales -- TTM
$
394,043
$
404,078
$
414,808
$
426,305
$
437,561
$
453,670
12
%
Operating income
$
5,841
$
7,517
$
4,789
$
11,472
$
8,267
$
9,123
21
%
F/X impact -- unfavorable
$
(32
)
$
(46
)
$
(53
)
$
(73
)
$
(41
)
$
(6
)
N/A
Operating income -- Y/Y growth (decline), excluding F/X
18
%
49
%
(14
)%
25
%
42
%
21
%
N/A
Operating margin -- % of North America net sales
6.3
%
7.5
%
4.5
%
9.0
%
7.9
%
7.9
%
N/A
Operating income -- TTM
$
25,825
$
28,277
$
27,403
$
29,619
$
32,045
$
33,651
19
%
Operating margin -- TTM % of North America net sales
6.6
%
7.0
%
6.6
%
6.9
%
7.3
%
7.4
%
N/A
International Segment:
Net sales
$
33,513
$
36,761
$
40,896
$
50,724
$
39,789
$
42,197
15
%
Net sales -- Y/Y growth, excluding F/X
8
%
11
%
10
%
11
%
11
%
15
%
N/A
Net sales -- TTM
$
144,484
$
149,582
$
154,590
$
161,894
$
168,170
$
173,606
16
%
Operating income
$
1,017
$
1,494
$
1,199
$
1,040
$
1,424
$
1,717
15
%
F/X impact -- favorable (unfavorable)
$
(56
)
$
338
$
302
$
319
$
347
$
(43
)
N/A
Operating income -- Y/Y growth (decline), excluding F/X
19
%
324
%
(31
)%
(45
)%
6
%
18
%
N/A
Operating margin -- % of International net sales
3.0
%
4.1
%
2.9
%
2.1
%
3.6
%
4.1
%
N/A
Operating income -- TTM
$
3,906
$
5,127
$
5,025
$
4,750
$
5,157
$
5,380
5
%
Operating margin -- TTM % of International net sales
2.7
%
3.4
%
3.2
%
2.9
%
3.1
%
3.1
%
N/A
AWS Segment:
Net sales
$
29,267
$
30,873
$
33,006
$
35,579
$
37,587
$
42,232
37
%
Net sales -- Y/Y growth, excluding F/X
17
%
17
%
20
%
24
%
28
%
37
%
N/A
Net sales -- TTM
$
111,786
$
116,378
$
121,932
$
128,725
$
137,045
$
148,404
28
%
Operating income
$
11,547
$
10,160
$
11,434
$
12,465
$
14,161
$
16,621
64
%
F/X impact -- favorable (unfavorable)
$
141
$
(139
)
$
(120
)
$
(223
)
$
(339
)
$
(56
)
N/A
Operating income -- Y/Y growth, excluding F/X
21
%
10
%
11
%
19
%
26
%
64
%
N/A
Operating margin -- % of AWS net sales
39.5
%
32.9
%
34.6
%
35.0
%
37.7
%
39.4
%
N/A
Operating income -- TTM
$
41,960
$
42,786
$
43,773
$
45,606
$
48,220
$
54,681
28
%
Operating margin -- TTM % of AWS net sales
37.5
%
36.8
%
35.9
%
35.4
%
35.2
%
36.8
%
N/A
AMAZON.COM, INC.
Supplemental Financial Information and Business Metrics
(in millions, except employee data)
(unaudited)
Q1 2025
Q2 2025
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Y/Y %
Change
Net Sales
Online stores (1)
$
57,407
$
61,485
$
67,407
$
82,988
$
64,254
$
70,432
15
%
Online stores -- Y/Y growth, excluding F/X
6
%
10
%
8
%
8
%
9
%
15
%
N/A
Physical stores (2)
$
5,533
$
5,595
$
5,578
$
5,855
$
5,785
$
5,794
4
%
Physical stores -- Y/Y growth, excluding F/X
6
%
7
%
7
%
5
%
4
%
4
%
N/A
Third-party seller services (3)
$
36,512
$
40,348
$
42,486
$
52,816
$
41,578
$
46,780
16
%
Third-party seller services -- Y/Y growth, excluding F/X
7
%
10
%
11
%
10
%
12
%
16
%
N/A
Advertising services (4)
$
13,921
$
15,694
$
17,703
$
21,317
$
17,243
$
19,809
26
%
Advertising services -- Y/Y growth, excluding F/X
19
%
22
%
22
%
22
%
22
%
26
%
N/A
Subscription services (5)
$
11,715
$
12,208
$
12,574
$
13,122
$
13,427
$
13,730
12
%
Subscription services -- Y/Y growth, excluding F/X
11
%
11
%
10
%
12
%
12
%
12
%
N/A
AWS
$
29,267
$
30,873
$
33,006
$
35,579
$
37,587
$
42,232
37
%
AWS -- Y/Y growth, excluding F/X
17
%
17
%
20
%
24
%
28
%
37
%
N/A
Other (6)
$
1,312
$
1,499
$
1,415
$
1,709
$
1,645
$
1,829
22
%
Other -- Y/Y growth, excluding F/X
4
%
18
%
7
%
7
%
25
%
23
%
N/A
Stock-based Compensation Expense
Cost of sales
$
148
$
250
$
197
$
182
$
171
$
208
(17
)%
Fulfillment
$
497
$
880
$
685
$
641
$
601
$
764
(13
)%
Technology and infrastructure
$
2,060
$
3,655
$
2,697
$
2,459
$
2,286
$
3,701
1
%
Sales and marketing
$
653
$
1,207
$
832
$
753
$
663
$
845
(30
)%
General and administrative
$
331
$
542
$
436
$
362
$
311
$
520
(4
)%
Total stock-based compensation expense
$
3,689
$
6,534
$
4,847
$
4,397
$
4,032
$
6,038
(8
)%
Other
WW shipping costs
$
22,495
$
23,370
$
25,384
$
31,492
$
25,709
$
27,873
19
%
WW shipping costs -- Y/Y growth
3
%
6
%
8
%
10
%
14
%
19
%
N/A
WW paid units -- Y/Y growth (7)
8
%
12
%
11
%
12
%
15
%
17
%
N/A
WW seller unit mix -- % of WW paid units (7)
61
%
62
%
62
%
61
%
60
%
61
%
N/A
Employees (full-time and part-time; excludes contractors & temporary personnel)
1,560,000
1,546,000
1,578,000
1,576,000
1,575,000
1,595,000
3
%
Employees (full-time and part-time; excludes contractors & temporary personnel) -- Y/Y growth
3
%
1
%
2
%
1
%
1
%
3
%
N/A
(1)
Includes product sales and digital media content where we record revenue gross. We leverage our retail infrastructure to offer a wide selection of consumable and durable goods that includes media products available in both a physical and digital format, such as books, videos, games, music, and software. These product sales include digital products sold on a transactional basis. Digital media content subscriptions that provide unlimited viewing or usage rights are included in “Subscription services.”
(2)
Includes product sales where our customers physically select items in a store. Sales to customers who order goods online for delivery or pickup at our physical stores are included in “Online stores.”
(3)
Includes commissions and any related fulfillment and shipping fees, and other third-party seller services.
(4)
Includes sales of advertising services to sellers, vendors, publishers, authors, and others, through programs such as sponsored ads, display, and video advertising.
(5)
Includes annual and monthly fees associated with Amazon Prime memberships, as well as digital video, audiobook, digital music, e-book, and other non-AWS subscription services.
(6)
Includes sales related to various other offerings (such as shipping services, healthcare services, and certain licensing and distribution of video content) and our co-branded credit card agreements.
(7)
Excludes the impact of Whole Foods Market.
Amazon.com, Inc.
Certain Definitions
Customer Accounts
Seller Accounts
AWS Customers
Units