Amazon posted net sales of $149 billion for its fourth quarter ended Dec. 31, 2022, for a 9 percent increase compared with the fourth quarter of 2021. Revenues topped forecasts and were driven by “a record-breaking holiday season,” the company said.
As previously reported, the company expected net sales in the fourth quarter of $140.0 to $148.0 billion. Excluding the $5.0 billion unfavorable impact from year-over-year changes in foreign exchange rates, the net sales increase for the quarter was of 12 percent. Meanwhile, the company’s net income decreased to $0.3 billion, or $0.03 per diluted share, compared with $14.3 billion, or $1.39 per diluted share, in the fourth quarter of 2021. Fourth quarter 2022 net income includes a pre-tax valuation loss of $2.3 billion included in non-operating income (expense) from the common stock investment in Rivian Automotive.
North America segment sales increased by 13 percent year-over-year to $93.4 billion, or by 14 percent excluding changes in foreign exchange rates. International sales decreased 8 percent year-over-year to $34.5 billion, but increased 5 percent when excluding changes in foreign exchange rates. Sales at the Amazon Web Services (AWS) segment increased 20 percent year-over-year to $21.4 billion.
For the first quarter of 2023, Amazon expects net sales of $121.0 to $126.0 billion, for growth of 4 to 8 percent, compared with the first quarter of 2022. This forecast anticipates an unfavorable impact of approximately 210 basis points from foreign exchange rates. Operating income in the first quarter of 2023 is expected to be between $0 and $4.0 billion, compared with $3.7 billion in first quarter of 2022.
