Amazon(US:AMZN) Mei Ri Jing Ji Xin Wen·2026-02-06 09:11Core Insights - Amazon reported Q4 2025 revenue of $213.4 billion, a 14% year-over-year increase, surpassing market expectations of $211.3 billion [1] - Net income for Q4 2025 was $21.2 billion, up 6% from $20 billion in the same quarter last year, with diluted earnings per share at $1.95, slightly below the expected $1.97 [1] - For Q1 2026, Amazon forecasts revenue between $173.5 billion and $178.5 billion, indicating a year-over-year growth of 11% to 15% [1] Financial Performance - Q4 2025 net product sales reached $90 billion, while net service sales were $123.4 billion, contributing to total net sales of $213.4 billion [2] - Operating income for Q4 2025 was $25 billion, with total operating expenses amounting to $188.4 billion [2] - The company’s total net sales for the year 2025 were $716.9 billion, compared to $638 billion in 2024, reflecting a significant growth trajectory [2] Capital Expenditure Plans - Amazon plans to invest approximately $200 billion in capital expenditures by 2026, significantly higher than the market expectation of $146.6 billion [2][3] - The 2025 capital expenditure is projected to be around $131 billion, indicating a growth of over 50% [2] - CEO Andy Jassy emphasized that the majority of these expenditures will be directed towards Amazon Web Services (AWS) [5] Market Reaction - Following the announcement of aggressive spending plans, Amazon's stock price fell over 11% in after-hours trading, resulting in a market capitalization loss of more than $260 billion [3] - The scale of Amazon's planned expenditures is notably larger than those of competitors, with Alphabet and Meta announcing lower projected spending for 2026 [3]