AWS revenue jumped 37% in Q2, exceeding Wall Street’s 31% forecast and driving $16.6 billion in operating income.
Amazon’s cloud division AWS reported 37% revenue growth in Q2, outpacing Wall Street’s 31% estimate. The segment generated $16.6 billion in operating income, accounting for roughly 60% of Amazon’s total profits despite representing just 21% of revenue.
Analysts had anticipated slower growth, but AWS’s performance underscored its dominance in cloud computing. Amazon is investing $220 billion in capital expenditures this year, primarily to expand data center capacity, which could fuel further revenue expansion.
The strong results sent Amazon’s stock higher following the earnings release, reflecting investor confidence in AWS’s long-term growth trajectory.