In This Story
Amazon (AMZN-0.84%) is set to report third-quarter earnings on Thursday, after slightly missing expectations in its last quarter.
The retail and cloud giant is expected to report revenues of $157.3 billion for the quarter ended in September, according to analyst estimates compiled by FactSet (FDS+1.64%). Amazon is expected to report earnings per share, or EPS, of $1.14. In the last quarter, the company issued lower-than-expected guidance for the third quarter, setting revenue expectations between $154 and $158.5 billion — or between 8% and 11% year over year growth.
Shares of Amazon were up 0.3% at the market close on Monday at $188.39. The company’s shares are up around 25.6% so far this year. After it missed Wall Street’s expectations last quarter, the company’s shares slid in after-hours trading.
In the second quarter, Amazon reported revenues of $148 billion — a 10% increase from the previous year, but still below expectations of $148.7 billion, according to FactSet. However, the company reported net income of $13.5 billion in the second quarter, which was above expectations of $11 billion.
Amazon Web Services, Amazon’s cloud-computing division, reported $26.3 billion in revenue, which was up 19% year over year.
“We’re continuing to make progress on a number of dimensions, but perhaps none more so than the continued reacceleration in AWS growth,” Andy Jassy, Amazon president and chief executive, said in a statement about its second quarter earnings.
Earlier this month, Amazon announced that it had signed three agreements “to support the development of nuclear energy projects.” The agreements include building “several” small modular reactors (SMRs). These “advanced” nuclear reactors have “a smaller physical footprint, allowing them to be built closer to the grid,” Amazon said. And compared with traditional reactors, SMRs can be put online faster because construction takes less time.
“Nuclear is a safe source of carbon-free energy that can help power our operations and meet the growing demands of our customers, while helping us progress toward our Climate Pledge commitment to be net-zero carbon across our operations by 2040,” Matt Garman, chief executive of Amazon Web Services, said in a statement.
Garman said the investment in nuclear energy is “an important area of investment for Amazon,” because it is “both carbon-free and able to scale.”