NASDAQ$AMZN

Amazon.com Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Amazon's first quarter results demonstrated substantial growth in net sales, operating income, and net income, driven by strong performance across North America, International, and AWS segments.

Amazon.com announced strong financial results for the first quarter ended March 31, 2021. Net sales increased by 44% to $108.5 billion, operating income rose to $8.9 billion, and net income reached $8.1 billion, or $15.79 per diluted share.

  • Net sales increased 44% to $108.5 billion, compared to $75.5 billion in Q1 2020.
  • Operating income increased to $8.9 billion, compared to $4.0 billion in Q1 2020.
  • Net income increased to $8.1 billion, or $15.79 per diluted share, compared to $2.5 billion, or $5.01 per diluted share, in Q1 2020.
  • AWS has grown into a $54 billion annual sales run rate business, with growth accelerating to 32% year over year.

Headline financials

Total Revenue

$109B

Previous: $75.5B+43.8%
EPS (adj)

$0.79

Previous: $0.25+216.0%
Operating margin

8.2%

No prior period
Free Cash Flow

$8.11B

Previous: $2.54B+219.8%
Net Income

$8.11B

Previous: $2.54B+219.8%
Operating Income

$8.87B

Previous: $3.99B+122.2%
Gross Profit

$46.1B

Previous: $31.2B+47.8%
Cash & Equivalents

$33.8B

Previous: $27.2B+24.4%
Total Assets

$323B

Previous: $221B+46.0%

Revenue & EPS history

Amazon · Revenue · Quarterly

$109B

Q1 2021+43.8%vs Q1 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Amazon · $109B total across 3 segments · Q1 2021

  • North America
    $64.4B+39.5%
  • International
    $30.6B+60.4%
  • AWS
    $13.5B+32.1%

Forward guidance

For the second quarter of 2021, Amazon expects net sales to be between $110.0 billion and $116.0 billion, representing growth between 24% and 30% compared to Q2 2020. Operating income is expected to be between $4.5 billion and $8.0 billion, compared to $5.8 billion in Q2 2020, including approximately $1.5 billion of costs related to COVID-19.

Tailwinds

  • Net sales are expected to grow between 24% and 30% compared with second quarter 2020.
  • Guidance anticipates a favorable impact of approximately 200 basis points from foreign exchange rates.
  • Prime Day is assumed to occur in second quarter 2021.
  • Continued growth in AWS and subscription services.
  • Innovation in delivery services and expansion of Amazon Scout.

Headwinds

  • Operating income is expected to be lower compared to Q1 2021.
  • Guidance assumes approximately $1.5 billion of costs related to COVID-19.
  • Results are inherently unpredictable and may be materially affected by many factors.
  • Impacts on consumer demand and spending patterns, due to concerns over the current economic outlook.
  • Additional or unforeseen effects from the COVID-19 pandemic and the global economic climate may give rise to or amplify many of these risks.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

+0.7%

Avg return

Earnings day

-0.0%

Avg return

5 days after

+0.5%

Avg return

30 days after

47%

31 / 66 earnings

Positive

+18.4%

Q1 2012

Best reaction

-10.6%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.0%+4.0%+2.9%
Q4 2025-5.6%-8.4%-4.3%
Q3 2025+1.9%+12.3%+4.6%
Q2 2025-6.2%-5.0%-2.2%
Q1 2025-0.2%-0.8%+7.8%
Q4 2024-4.1%-4.1%-16.6%
Q3 2024+2.7%+3.5%+7.9%
Q2 2024-10.2%-13.4%-4.5%
Q1 2024-1.1%+2.9%-0.9%
Q4 2023+10.7%+9.0%+14.8%
Q3 2023+5.2%+9.6%+20.9%
Q2 2023+8.9%+9.1%+7.7%
Q1 2023+0.4%-1.3%+14.4%
Q4 2022-1.7%-2.9%-9.7%
Q3 2022-10.6%-16.3%-19.2%
Q2 2022+11.6%+10.9%+8.1%
Q1 2022-10.1%-10.1%-16.7%
Q4 2021+4.7%+7.2%-3.3%
Q3 2021-0.6%-2.4%+3.3%
Q2 2021-8.3%-7.3%-7.7%
Q1 2021+0.3%-4.2%-6.8%
Q4 2020-0.9%+0.3%-10.9%
Q3 2020-4.0%-3.6%+1.0%
Q2 2020+4.3%+3.5%+12.1%
Q1 2020-3.7%-2.3%+2.9%
Q4 2019+8.1%+10.3%+1.4%
Q3 2019-0.0%+0.0%-0.9%
Q2 2019-2.9%-5.1%-12.6%
Q1 2019+2.6%+1.3%-4.1%
Q4 2018-2.6%-0.7%+0.1%
Q3 2018-1.3%-8.0%-9.7%
Q2 2018-2.5%-4.6%+2.2%
Q1 2018+7.7%+8.4%+10.3%
Q4 2017-1.4%-0.6%+3.4%
Q3 2017+13.2%+13.6%+21.9%
Q2 2017-3.1%-5.4%-10.2%
Q1 2017+1.7%+4.1%+9.5%
Q4 2016-2.7%-2.4%+2.1%
Q3 2016-5.6%-4.5%-5.1%
Q2 2016+3.0%+3.2%+4.4%
Q1 2016+8.7%
Q4 2015+0.6%
Q3 2015+7.8%
Q2 2015+8.4%
Q1 2015+14.2%
Q4 2014+16.6%
Q3 2014-8.3%
Q2 2014-9.5%
Q1 2014-6.4%
Q4 2013-6.7%
Q3 2013+11.2%
Q2 2013+4.3%
Q1 2013-5.2%
Q4 2012-1.2%
Q3 2012+4.3%
Q2 2012+9.4%
Q1 2012+18.4%
Q4 2011-6.5%
Q3 2011-9.0%
Q2 2011+4.6%
Q1 2011+6.9%
Q4 2010-8.0%
Q3 2010+2.4%
Q2 2010-1.3%
Q1 2010-1.9%
Q2 2009-10.2%

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