Amazon reported third-quarter revenue of $201.9B, up 12% but just short of the roughly $202.2B analysts expected, and earnings of $1.89 a share against a $1.97 consensus, sending shares down about 7% in after-hours trading. Amazon said moving Prime Day into the second quarter in most large countries cut about 4 points off growth, which left North American sales up only 6% and international sales up 5%. AWS grew far faster, with revenue up 39% to $46B and operating income of $17.8B, well over half of Amazon’s $28.1B total. But the AI buildout behind that growth has turned Amazon’s free cash flow over the past 12 months into a $42.4B outflow, compared with $14.8B of positive cash flow a year earlier.
