Amazon released better-than-expected results this evening in the last quarter of 2025, but they still disappointed investors, who consequently heavily punished the title.
The quarterly profit of 21.2 billion dollars, based on the ‘cloud’, contributed to the annual profit of 77.7 billion, a year-on-year growth of 31.2%, while the annual turnover rose 12%, to 716.9 billion.
Group president and CEO Andy Jassy, quoted in a statement, said: “We continue to innovate at a rapid pace and identify and respond to our customers’ problems.”
However, this satisfaction did not resonate with investors, which led to the stock losing more than nine percent in transactions after the Wall Street close, after having already lost 4.22% during the session.
Among the less positive information released was earnings per share, a particularly important indicator on Wall Street, which came out lower than expected, at 1.86 dollars, instead of 1.97.
And ‘cloud’ activity, in which Amazon is number one worldwide, progressed at a slower pace than rivals Microsoft and Alphabet.
The group intends to defend its advantage in the current year through a significant increase in investment.
“Due to the strong demand for our offers and considering the important opportunities that present themselves in artificial intelligence (AI), integrated circuits, robotics (…), we anticipate investments of around 200 billion dollars in 2026”, added Jassy.
Announcement that adds to that of Alphabet, which announced investments in 2026 of between 175 billion and 185 billion dollars. These numbers are received by investors with skepticism.
In fact, they are increasingly questioning the expected returns from these colossal investments, the vast majority of which are dedicated to the development of AI.
On Tuesday, Amazon announced another 16 thousand layoffs, three months after 14 thousand, in a total that approaches 10% of its workforce of 350 thousand.
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