Amazon reports better-than-expected results as revenue jumps 14%

Amazon on Thursday reported fourth-quarter results that sailed past analysts’ estimates, and gave strong guidance for the current quarter. The stock climbed more than 8% in extended trading.

Here are the results:

• Earnings per share: $1.00 vs. 80 cents expected by LSEG, formerly known as Refinitiv
• Revenue: $170 billion vs. $166.2 billion expected by LSEG

Wall Street is also watching several other numbers in the report:

• Amazon Web Services: $24.2 billion vs. $24.2 billion, according to StreetAccount
• Advertising: $14.7 billion vs. $14.2 billion, according to StreetAccount

Amazon said first-quarter sales will be between $138 billion and $143.5 billion, representing growth of 8% to 13%. Analysts were expecting revenue of $142.1 billion, according to Refinitiv.

Amazon easily topped Wall Street’s expectations for earnings, indicating that CEO Andy Jassy’s efforts to rein in costs are paying off. Net income surged to $10.6 billion, or $1.00 per share, compared to $278 million, or 3 cents per share, a year earlier.

The company laid off 27,000 employees between late 2022 and mid-2023, and ended some of its more unproven bets. It has continued to look for ways to trim expenses in other areas, such as its fulfillment business. In January, it announced cuts in Prime Video, MGM Studios and Twitch, among other units.

Amazon CFO Brian Olsavsky told reporters on Thursday that the company will continue to take a careful approach on new investments, but that it doesn’t see 2024 “as a year of efficiency type thing.”

“We’re going to continue to invest in new things and new areas and things that are resonating with customers,” Olsavsky said. “Where we can find efficiencies and do more with less, we’re going to do that as well.”

Revenue jumped 14% to $170 billion in the fourth quarter. The period reflects results from the holiday shopping season and Amazon’s…