Amazon posted net sales of $143.1 billion in the third quarter ended Sept. 30, 2023, representing an increase of 13 percent compared with Q3 2022. Excluding the $1.4 billion favorable impact from year-over-year changes in foreign exchange rates throughout the quarter, the sales increase was 11 percent. International sales increased 16 percent year-over-year to $32.1 billion or 11 percent when excluding changes in foreign exchange rates. North American sales increased 11 percent year-over-year to $87.9 billion.
Amazon Web Services (AWS) sales increased 12 percent year-over-year to $23.1 billion. Advertising revenues posted a substantial 26 percent increase. The company’s operating income increased to $11.2 billion in Q3 2023, compared with $2.5 billion in the same period of the previous year. Net income soared to $9.9 billion, or $0.94 per diluted share, compared with $2.9 billion, or $0.28 per diluted share, in Q3 2022. Earnings and revenues beat past analyst expectations for the quarter.
For the fourth quarter, Amazon expects net sales to be between $160.0 billion and $167.0 billion or to grow 7-12 percent compared with Q4 2022. This guidance anticipates a favorable impact of around 40 basis points from foreign exchange rates. Operating income is expected to be between $7.0 billion and $11.0 billion, compared with $2.7 billion in Q4 2022. These forward-looking statements are subject to considerable uncertainty. Furthermore, the forecast assumes that no further business acquisitions, restructurings or legal settlements will be concluded during the quarter.
