Amazon’s Q4 earnings release on Thursday, February 2, 2023, brought mixed results: while the company surpassed expectations for revenue, their stock dropped slightly due to misses on earnings and AWS growth. Despite the miss, AWS still brought Amazon’s results up significantly with 20% growth, as both North America and international market segments saw operational losses for the quarter as economic pressures continue.
While AWS growth has slowed over the last couple of quarters and has the potential to continue to decrease in the first half of 2023, Amazon remains optimistic about the long-term prospects of cloud-based IT resource management. Amazon’s operational costs remained high due to severance payments for December layoffs, closing physical stores, and higher insurance costs. Investors responded well to CEO Andy Jassy joining the call to answer questions for the first time in his first year as CEO (by contrast, Jeff Bezos had not joined an earnings call since 2009).
Download the full Harvest Group Amazon Q4 2022 Earnings Call Recap Here:
