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February 2, 2024
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Fourth Quarter 2023 Full Year 2023 “This Q4 was a record-breaking Holiday shopping season and closed out a robust 2023 for Amazon,” said Andy Jassy, Amazon CEO. “While we made meaningful revenue, operating income, and free cash flow progress, what we’re most pleased with is the continued invention and customer experience improvements across our businesses. The regionalization of our U.S. fulfillment network led to our fastest-ever delivery speeds for Prime members while also lowering our cost to serve; AWS’s continued long-term focus on customers and feature delivery, coupled with new genAI capabilities like Bedrock, Q, and Trainium have resonated with customers and are starting to be reflected in our overall results; our Advertising services continue to improve and drive positive results; our newer businesses are progressing nicely, and along with our more established businesses, collectively making customers’ lives easier and better every day. As we enter 2024, our teams are delivering at a rapid clip, and we have a lot in front of us to be excited about.” Highlights Obsessing over the customer experience Amazon obsesses over how to make customers’ lives better and easier every day with new and improved products and services. This is true for consumers, sellers, brands, developers, enterprises, and creators. For example, Amazon: Inventing on behalf of customers Amazon is driven by a passion for invention across all of its business areas. The company builds new products and services that customers ask for, and also invents new ones that customers didn’t know they wanted but make their lives or businesses better in some meaningful way. For example, Amazon: Empowering employees and delivery service partners In addition to its focus on customers, Amazon strives to make every day better for its employees and delivery service partners. For example, the company: Supporting communities and protecting the environment Amazon believes that success and scale bring broad responsibility to help the planet, future generations, and communities. Amazon employees have passion for investing in these areas, and a sampling of the efforts from this past quarter are that Amazon: Financial Guidance The following forward-looking statements reflect Amazon.com’s expectations as of February 1, 2024, and are subject to substantial uncertainty. Our results are inherently unpredictable and may be materially affected by many factors, such as fluctuations in foreign exchange rates, changes in global economic and geopolitical conditions and customer demand and spending (including the impact of recessionary fears), inflation, interest rates, regional labor market constraints, world events, the rate of growth of the internet, online commerce, cloud services, and new and emerging technologies, and the various factors detailed below. First Quarter 2024 Guidance A conference call will be webcast live today at 2:30 p.m. PT/5:30 p.m. ET, and will be available for at least three months at amazon.com/ir. This call will contain forward-looking statements and other material information regarding the Company’s financial and operating results. These forward-looking statements are inherently difficult to predict. Actual results and outcomes could differ materially for a variety of reasons, including, in addition to the factors discussed above, the amount that Amazon.com invests in new business opportunities and the timing of those investments, the mix of products and services sold to customers, the mix of net sales derived from products as compared with services, the extent to which we owe income or other taxes, competition, management of growth, potential fluctuations in operating results, international growth and expansion, the outcomes of claims, litigation, government investigations, and other proceedings, fulfillment, sortation, delivery, and data center optimization, risks of inventory management, variability in demand, the degree to which the Company enters into, maintains, and develops commercial agreements, proposed and completed acquisitions and strategic transactions, payments risks, and risks of fulfillment throughput and productivity. Other risks and uncertainties include, among others, risks related to new products, services, and technologies, security breaches, system interruptions, government regulation and taxation, and fraud. In addition, global economic and geopolitical conditions and additional or unforeseen circumstances, developments, or events may give rise to or amplify many of these risks. More information about factors that potentially could affect Amazon.com’s financial results is included in Amazon.com’s filings with the Securities and Exchange Commission (“SEC”), including its most recent Annual Report on Form 10-K and subsequent filings. Our investor relations website is amazon.com/ir and we encourage investors to use it as a way of easily finding information about us. We promptly make available on this website, free of charge, the reports that we file or furnish with the SEC, corporate governance information (including our Code of Business Conduct and Ethics), and select press releases, which may contain material information about us, and you may subscribe to be notified of new information posted to this site. About Amazon Amazon is guided by four principles: customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking. Amazon strives to be Earth’s Most Customer-Centric Company, Earth’s Best Employer, and Earth’s Safest Place to Work. Customer reviews, 1-Click shopping, personalized recommendations, Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing, Kindle, Career Choice, Fire tablets, Fire TV, Amazon Echo, Alexa, Just Walk Out technology, Amazon Studios, and The Climate Pledge are some of the things pioneered by Amazon. For more information, visit amazon.com/about and follow @AmazonNews. AMAZON.COM, INC. Consolidated Statements of Cash Flows (in millions) (unaudited) Three Months Ended December 31, Twelve Months Ended December 31, 2022 2023 2022 2023 CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF PERIOD $ 35,178 $ 50,081 $ 36,477 $ 54,253 OPERATING ACTIVITIES: Net income (loss) 278 10,624 (2,722 ) 30,425 Adjustments to reconcile net income (loss) to net cash from operating activities: Depreciation and amortization of property and equipment and capitalized content costs, operating lease assets, and other 12,685 13,820 41,921 48,663 Stock-based compensation 5,606 6,319 19,621 24,023 Non-operating expense (income), net 3,445 (339 ) 16,966 (748 ) Deferred income taxes (3,367 ) (1,464 ) (8,148 ) (5,876 ) Changes in operating assets and liabilities: Inventories 3,180 2,643 (2,592 ) 1,449 Accounts receivable, net and other (4,741 ) (7,447 ) (8,622 ) (8,348 ) Other assets (4,047 ) (2,802 ) (13,275 ) (12,265 ) Accounts payable 9,852 10,888 2,945 5,473 Accrued expenses and other 5,777 6,594 (1,558 ) (2,428 ) Unearned revenue 505 3,629 2,216 4,578 Net cash provided by (used in) operating activities 29,173 42,465 46,752 84,946 INVESTING ACTIVITIES: Purchases of property and equipment (16,592 ) (14,588 ) (63,645 ) (52,729 ) Proceeds from property and equipment sales and incentives 1,152 1,235 5,324 4,596 Acquisitions, net of cash acquired, non-marketable investments, and other (831 ) (381 ) (8,316 ) (5,839 ) Sales and maturities of marketable securities 5,683 1,568 31,601 5,627 Purchases of marketable securities (233 ) (435 ) (2,565 ) (1,488 ) Net cash provided by (used in) investing activities (10,821 ) (12,601 ) (37,601 ) (49,833 ) FINANCING ACTIVITIES: Common stock repurchased — — (6,000 ) — Proceeds from short-term debt, and other 10,607 734 41,553 18,129 Repayments of short-term debt, and other (15,797 ) (6,338 ) (37,554 ) (25,677 ) Proceeds from long-term debt 8,235 — 21,166 — Repayments of long-term debt (1,257 ) (290 ) (1,258 ) (3,676 ) Principal repayments of finance leases (1,640 ) (779 ) (7,941 ) (4,384 ) Principal repayments of financing obligations (62 ) (73 ) (248 ) (271 ) Net cash provided by (used in) financing activities 86 (6,746 ) 9,718 (15,879 ) Foreign currency effect on cash, cash equivalents, and restricted cash 637 691 (1,093 ) 403 Net increase (decrease) in cash, cash equivalents, and restricted cash 19,075 23,809 17,776 19,637 CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD $ 54,253 $ 73,890 $ 54,253 $ 73,890 SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid for interest on debt, net of capitalized interest $ 629 $ 787 $ 1,561 $ 2,608 Cash paid for operating leases 2,365 2,766 8,633 10,453 Cash paid for interest on finance leases 84 74 374 308 Cash paid for interest on financing obligations 55 46 207 196 Cash paid for income taxes, net of refunds 1,695 4,197 6,035 11,179 Assets acquired under operating leases 4,769 2,977 18,800 14,052 Property and equipment acquired under finance leases, net of remeasurements and modifications 317 211 675 642 Property and equipment recognized during the construction period of build-to-suit lease arrangements 310 49 3,187 357 Property and equipment derecognized after the construction period of build-to-suit lease arrangements, with the associated leases recognized as operating 1,851 162 5,158 1,374 AMAZON.COM, INC. Consolidated Statements of Operations (in millions, except per share data) (unaudited) Three Months Ended December 31, Twelve Months Ended December 31, 2022 2023 2022 2023 Net product sales $ 70,531 $ 76,703 $ 242,901 $ 255,887 Net service sales 78,673 93,258 271,082 318,898 Total net sales 149,204 169,961 513,983 574,785 Operating expenses: Cost of sales 85,640 92,553 288,831 304,739 Fulfillment 23,103 26,095 84,299 90,619 Technology and infrastructure 20,814 22,038 73,213 85,622 Sales and marketing 12,818 12,902 42,238 44,370 General and administrative 3,333 3,010 11,891 11,816 Other operating expense (income), net 759 154 1,263 767 Total operating expenses 146,467 156,752 501,735 537,933 Operating income 2,737 13,209 12,248 36,852 Interest income 445 901 989 2,949 Interest expense (694 ) (713 ) (2,367 ) (3,182 ) Other income (expense), net (3,450 ) 289 (16,806 ) 938 Total non-operating income (expense) (3,699 ) 477 (18,184 ) 705 Income (loss) before income taxes (962 ) 13,686 (5,936 ) 37,557 Benefit (provision) for income taxes 1,227 (3,062 ) 3,217 (7,120 ) Equity-method investment activity, net of tax 13 — (3 ) (12 ) Net income (loss) $ 278 $ 10,624 $ (2,722 ) $ 30,425 Basic earnings per share $ 0.03 $ 1.03 $ (0.27 ) $ 2.95 Diluted earnings per share $ 0.03 $ 1.00 $ (0.27 ) $ 2.90 Weighted-average shares used in computation of earnings per Basic 10,220 10,356 10,189 10,304 Diluted 10,308 10,610 10,189 10,492 AMAZON.COM, INC. Consolidated Statements of Comprehensive Income (Loss) (in millions) (unaudited) Three Months Ended December 31, Twelve Months Ended December 31, 2022 2023 2022 2023 Net income (loss) $ 278 $ 10,624 $ (2,722 ) $ 30,425 Other comprehensive income (loss): Foreign currency translation adjustments, net of tax of $(36), $(59), $100, and $(55) 2,075 1,765 (2,586 ) 1,027 Available-for-sale debt securities: Change in net unrealized gains (losses), net of tax of $162, $(58), $159, and $(110) 272 192 (823 ) 366 Less: reclassification adjustment for losses (gains) included in “Other income (expense), net,” net of tax of $0, $0, $0, and $(15) 281 2 298 50 Net change 553 194 (525 ) 416 Other, net of tax of $0, $(1), $0, and $(1) — 4 — 4 Total other comprehensive income (loss) 2,628 1,963 (3,111 ) 1,447 Comprehensive income (loss) $ 2,906 $ 12,587 $ (5,833 ) $ 31,872 AMAZON.COM, INC. Segment Information (in millions) (unaudited) Three Months Ended December 31, Twelve Months Ended December 31, 2022 2023 2022 2023 North America Net sales $ 93,363 $ 105,514 $ 315,880 $ 352,828 Operating expenses 93,603 99,053 318,727 337,951 Operating income (loss) $ (240 ) $ 6,461 $ (2,847 ) $ 14,877 International Net sales $ 34,463 $ 40,243 $ 118,007 $ 131,200 Operating expenses 36,691 40,662 125,753 133,856 Operating loss $ (2,228 ) $ (419 ) $ (7,746 ) $ (2,656 ) AWS Net sales $ 21,378 $ 24,204 $ 80,096 $ 90,757 Operating expenses 16,173 17,037 57,255 66,126 Operating income $ 5,205 $ 7,167 $ 22,841 $ 24,631 Consolidated Net sales $ 149,204 $ 169,961 $ 513,983 $ 574,785 Operating expenses 146,467 156,752 501,735 537,933 Operating income 2,737 13,209 12,248 36,852 Total non-operating income (expense) (3,699 ) 477 (18,184 ) 705 Benefit (provision) for income taxes 1,227 (3,062 ) 3,217 (7,120 ) Equity-method investment activity, net of tax 13 — (3 ) (12 ) Net income (loss) $ 278 $ 10,624 $ (2,722 ) $ 30,425 Segment Highlights: Y/Y net sales growth (decline): North America 13 % 13 % 13 % 12 % International (8 ) 17 (8 ) 11 AWS 20 13 29 13 Consolidated 9 14 9 12 Net sales mix: North America 63 % 62 % 61 % 61 % International 23 24 23 23 AWS 14 14 16 16 Consolidated 100 % 100 % 100 % 100 % AMAZON.COM, INC. Consolidated Balance Sheets (in millions, except per share data) (unaudited) December 31, 2022 December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 53,888 $ 73,387 Marketable securities 16,138 13,393 Inventories 34,405 33,318 Accounts receivable, net and other 42,360 52,253 Total current assets 146,791 172,351 Property and equipment, net 186,715 204,177 Operating leases 66,123 72,513 Goodwill 20,288 22,789 Other assets 42,758 56,024 Total assets $ 462,675 $ 527,854 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ 79,600 $ 84,981 Accrued expenses and other 62,566 64,709 Unearned revenue 13,227 15,227 Total current liabilities 155,393 164,917 Long-term lease liabilities 72,968 77,297 Long-term debt 67,150 58,314 Other long-term liabilities 21,121 25,451 Commitments and contingencies Stockholders’ equity: Preferred stock ($0.01 par value; 500 shares authorized; no shares issued or outstanding) — — Common stock ($0.01 par value; 100,000 shares authorized; 10,757 and 10,898 shares issued; 10,242 and 10,383 shares outstanding) 108 109 Treasury stock, at cost (7,837 ) (7,837 ) Additional paid-in capital 75,066 99,025 Accumulated other comprehensive income (loss) (4,487 ) (3,040 ) Retained earnings 83,193 113,618 Total stockholders’ equity 146,043 201,875 Total liabilities and stockholders’ equity $ 462,675 $ 527,854 AMAZON.COM, INC. Supplemental Financial Information and Business Metrics (in millions, except per share data) (unaudited) Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Y/Y % Change Cash Flows and Shares Operating cash flow -- trailing twelve months (TTM) $ 39,665 $ 46,752 $ 54,330 $ 61,841 $ 71,654 $ 84,946 82% Operating cash flow -- TTM Y/Y growth (decline) (27 )% 1 % 38 % 74 % 81 % 82 % N/A Purchases of property and equipment, net of proceeds from sales and incentives -- TTM $ 59,351 $ 58,321 $ 57,649 $ 53,963 $ 50,220 $ 48,133 (17)% Principal repayments of finance leases -- TTM $ 8,561 $ 7,941 $ 6,544 $ 5,705 $ 5,245 $ 4,384 (45)% Principal repayments of financing obligations -- TTM $ 233 $ 248 $ 226 $ 244 $ 260 $ 271 9% Equipment acquired under finance leases -- TTM (1) $ 868 $ 299 $ 285 $ 269 $ 239 $ 310 4% Principal repayments of all other finance leases -- TTM (2) $ 706 $ 670 $ 625 $ 631 $ 694 $ 683 2% Free cash flow -- TTM (3) $ (19,686 ) $ (11,569 ) $ (3,319 ) $ 7,878 $ 21,434 $ 36,813 N/A Free cash flow less principal repayments of finance leases and financing obligations -- TTM (4) $ (28,480 ) $ (19,758 ) $ (10,089 ) $ 1,929 $ 15,929 $ 32,158 N/A Free cash flow less equipment finance leases and principal repayments of all other finance leases and financing obligations -- TTM (5) $ (21,493 ) $ (12,786 ) $ (4,455 ) $ 6,734 $ 20,241 $ 35,549 N/A Common shares and stock-based awards outstanding 10,597 10,627 10,625 10,794 10,792 10,788 2% Common shares outstanding 10,198 10,242 10,258 10,313 10,330 10,383 1% Stock-based awards outstanding 399 384 367 481 462 406 6% Stock-based awards outstanding -- % of common shares outstanding 3.9 % 3.8 % 3.6 % 4.7 % 4.5 % 3.9 % N/A Results of Operations Worldwide (WW) net sales $ 127,101 $ 149,204 $ 127,358 $ 134,383 $ 143,083 $ 169,961 14% WW net sales -- Y/Y growth, excluding F/X 19 % 12 % 11 % 11 % 11 % 13 % N/A WW net sales -- TTM $ 502,191 $ 513,983 $ 524,897 $ 538,046 $ 554,028 $ 574,785 12% WW net sales -- TTM Y/Y growth, excluding F/X 12 % 13 % 13 % 13 % 12 % 12 % N/A Operating income $ 2,525 $ 2,737 $ 4,774 $ 7,681 $ 11,188 $ 13,209 383% F/X impact -- favorable $ 357 $ 213 $ 139 $ 104 $ 132 $ 85 N/A Operating income -- Y/Y growth (decline), excluding F/X (55 )% (27 )% 26 % 128 % 338 % 379 % N/A Operating margin -- % of WW net sales 2.0 % 1.8 % 3.7 % 5.7 % 7.8 % 7.8 % N/A Operating income -- TTM $ 12,971 $ 12,248 $ 13,353 $ 17,717 $ 26,380 $ 36,852 201% Operating income -- TTM Y/Y growth (decline), excluding F/X (57 )% (54 )% (37 )% 10 % 99 % 197 % N/A Operating margin -- TTM % of WW net sales 2.6 % 2.4 % 2.5 % 3.3 % 4.8 % 6.4 % N/A Net income $ 2,872 $ 278 $ 3,172 $ 6,750 $ 9,879 $ 10,624 N/A Net income per diluted share $ 0.28 $ 0.03 $ 0.31 $ 0.65 $ 0.94 $ 1.00 N/A Net income (loss) -- TTM $ 11,323 $ (2,722 ) $ 4,294 $ 13,072 $ 20,079 $ 30,425 N/A Net income (loss) per diluted share -- TTM $ 1.10 $ (0.27 ) $ 0.42 $ 1.26 $ 1.93 $ 2.90 N/A ______________________________ (1) For the twelve months ended December 31, 2022 and 2023, this amount relates to equipment included in “Property and equipment acquired under finance leases, net of remeasurements and modifications” of $675 million and $642 million. (2) For the twelve months ended December 31, 2022 and 2023, this amount relates to property included in “Principal repayments of finance leases” of $7,941 million and $4,384 million. (3) Free cash flow is cash flow from operations reduced by “Purchases of property and equipment, net of proceeds from sales and incentives.” (4) Free cash flow less principal repayments of finance leases and financing obligations is free cash flow reduced by “Principal repayments of finance leases” and “Principal repayments of financing obligations.” (5) Free cash flow less equipment finance leases and principal repayments of all other finance leases and financing obligations is free cash flow reduced by equipment acquired under finance leases, which is included in “Property and equipment acquired under finance leases, net of remeasurements and modifications,” principal repayments of all other finance lease liabilities, which is included in “Principal repayments of finance leases,” and “Principal repayments of financing obligations.” AMAZON.COM, INC. Supplemental Financial Information and Business Metrics (in millions) (unaudited) Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Y/Y % Change Segments North America Segment: Net sales $ 78,843 $ 93,363 $ 76,881 $ 82,546 $ 87,887 $ 105,514 13% Net sales -- Y/Y growth, excluding F/X 20 % 14 % 11 % 11 % 11 % 13 % N/A Net sales -- TTM $ 304,877 $ 315,880 $ 323,517 $ 331,633 $ 340,677 $ 352,828 12% Operating income (loss) $ (412 ) $ (240 ) $ 898 $ 3,211 $ 4,307 $ 6,461 N/A F/X impact -- favorable (unfavorable) $ 95 $ 76 $ 41 $ (7 ) $ (27 ) $ (13 ) N/A Operating income (loss) -- Y/Y growth (decline), excluding F/X (158 )% 53 % N/A N/A N/A N/A N/A Operating margin -- % of North America net sales (0.5 )% (0.3 )% 1.2 % 3.9 % 4.9 % 6.1 % N/A Operating income (loss) -- TTM $ (2,813 ) $ (2,847 ) $ (381 ) $ 3,457 $ 8,176 $ 14,877 N/A Operating margin -- TTM % of North America net sales (0.9 )% (0.9 )% (0.1 )% 1.0 % 2.4 % 4.2 % N/A International Segment: Net sales $ 27,720 $ 34,463 $ 29,123 $ 29,697 $ 32,137 $ 40,243 17% Net sales -- Y/Y growth, excluding F/X 12 % 5 % 9 % 10 % 11 % 13 % N/A Net sales -- TTM $ 120,816 $ 118,007 $ 118,371 $ 121,003 $ 125,420 $ 131,200 11% Operating loss $ (2,466 ) $ (2,228 ) $ (1,247 ) $ (895 ) $ (95 ) $ (419 ) (81)% F/X impact -- favorable (unfavorable) $ (216 ) $ (331 ) $ (174 ) $ 32 $ 228 $ 160 N/A Operating loss -- Y/Y growth (decline), excluding F/X 147 % 17 % (16 )% (48 )% (87 )% (74 )% N/A Operating margin -- % of International net sales (8.9 )% (6.5 )% (4.3 )% (3.0 )% (0.3 )% (1.0 )% N/A Operating loss -- TTM $ (7,145 ) $ (7,746 ) $ (7,712 ) $ (6,836 ) $ (4,465 ) $ (2,656 ) (66)% Operating margin -- TTM % of International net sales (5.9 )% (6.6 )% (6.5 )% (5.6 )% (3.6 )% (2.0 )% N/A AWS Segment: Net sales $ 20,538 $ 21,378 $ 21,354 $ 22,140 $ 23,059 $ 24,204 13% Net sales -- Y/Y growth, excluding F/X 28 % 20 % 16 % 12 % 12 % 13 % N/A Net sales -- TTM $ 76,498 $ 80,096 $ 83,009 $ 85,410 $ 87,931 $ 90,757 13% Operating income $ 5,403 $ 5,205 $ 5,123 $ 5,365 $ 6,976 $ 7,167 38% F/X impact -- favorable (unfavorable) $ 478 $ 468 $ 272 $ 79 $ (69 ) $ (62 ) N/A Operating income -- Y/Y growth (decline), excluding F/X 1 % (10 )% (26 )% (8 30 % 39 % N/A Operating margin -- % of AWS net sales 26.3 % 24.3 % 24.0 % 24.2 % 30.3 % 29.6 % N/A Operating income -- TTM $ 22,929 $ 22,841 $ 21,446 $ 21,096 $ 22,669 $ 24,631 8% Operating margin -- TTM % of AWS net sales 30.0 % 28.5 % 25.8 % 24.7 % 25.8 % 27.1 % N/A AMAZON.COM, INC. Supplemental Financial Information and Business Metrics (in millions, except employee data) (unaudited) Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Y/Y % Change Net Sales Online stores (1) $ 53,489 $ 64,531 $ 51,096 $ 52,966 $ 57,267 $ 70,543 9% Online stores -- Y/Y growth, excluding F/X 13 % 2 % 3 % 5 % 6 % 8 % N/A Physical stores (2) $ 4,694 $ 4,957 $ 4,895 $ 5,024 $ 4,959 $ 5,152 4% Physical stores -- Y/Y growth, excluding F/X 10 % 6 % 7 % 7 % 6 % 4 % N/A Third-party seller services (3) $ 28,666 $ 36,339 $ 29,820 $ 32,332 $ 34,342 $ 43,559 20% Third-party seller services -- Y/Y growth, excluding F/X 23 % 24 % 20 % 18 % 18 % 19 % N/A Advertising services (4) $ 9,548 $ 11,557 $ 9,509 $ 10,683 $ 12,060 $ 14,654 27% Advertising services -- Y/Y growth, excluding F/X 30 % 23 % 23 % 22 % 25 % 26 % N/A Subscription services (5) $ 8,903 $ 9,189 $ 9,657 $ 9,894 $ 10,170 $ 10,488 14% Subscription services -- Y/Y growth, excluding F/X 14 % 17 % 17 % 14 % 13 % 13 % N/A AWS $ 20,538 $ 21,378 $ 21,354 $ 22,140 $ 23,059 $ 24,204 13% AWS -- Y/Y growth, excluding F/X 28 % 20 % 16 % 12 % 12 % 13 % N/A Other (6) $ 1,263 $ 1,253 $ 1,027 $ 1,344 $ 1,226 $ 1,361 9% Other -- Y/Y growth (decline), excluding F/X 168 % 80 % 57 % 26 % (3 )% 8 % N/A Stock-based Compensation Expense Cost of sales $ 190 $ 208 $ 165 $ 251 $ 193 $ 227 9% Fulfillment $ 727 $ 757 $ 603 $ 932 $ 732 $ 823 9% Technology and infrastructure $ 3,036 $ 3,126 $ 2,574 $ 4,043 $ 3,284 $ 3,533 13% Sales and marketing $ 1,128 $ 1,092 $ 993 $ 1,303 $ 1,111 $ 1,216 11% General and administrative $ 475 $ 423 $ 413 $ 598 $ 509 $ 520 23% Total stock-based compensation expense $ 5,556 $ 5,606 $ 4,748 $ 7,127 $ 5,829 $ 6,319 13% Other WW shipping costs $ 19,942 $ 24,714 $ 19,937 $ 20,418 $ 21,799 $ 27,326 11% WW shipping costs -- Y/Y growth 10 % 4 % 2 % 6 % 9 % 11 % N/A WW paid units -- Y/Y growth (7) 11 % 8 % 8 % 9 % 9 % 12 % N/A WW seller unit mix -- % of WW paid units (7) 58 % 59 % 59 % 60 % 60 % 61 % N/A Employees (full-time and part-time; excludes contractors & temporary personnel) 1,544,000 1,541,000 1,465,000 1,461,000 1,500,000 1,525,000 (1)% Employees (full-time and part-time; excludes contractors & temporary personnel) -- Y/Y growth (decline) 5 % (4 )% (10 )% (4 )% (3 )% (1 )% N/A ________________________ (1) Includes product sales and digital media content where we record revenue gross. We leverage our retail infrastructure to offer a wide selection of consumable and durable goods that includes media products available in both a physical and digital format, such as books, videos, games, music, and software. These product sales include digital products sold on a transactional basis. Digital media content subscriptions that provide unlimited viewing or usage rights are included in “Subscription services.” (2) Includes product sales where our customers physically select items in a store. Sales to customers who order goods online for delivery or pickup at our physical stores are included in “Online stores.” (3) Includes commissions and any related fulfillment and shipping fees, and other third-party seller services. (4) Includes sales of advertising services to sellers, vendors, publishers, authors, and others, through programs such as sponsored ads, display, and video advertising. (5) Includes annual and monthly fees associated with Amazon Prime memberships, as well as digital video, audiobook, digital music, e-book, and other non-AWS subscription services. (6) Includes sales related to various other offerings, such as certain licensing and distribution of video content, health care services, and shipping services, and our co-branded credit card agreements. (7) Excludes the impact of Whole Foods Market. Amazon.com, Inc. Customer Accounts Seller Accounts AWS Customers Units Amazon Investor Relations Amazon Public Relations Multimedia Files:
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Certain Definitions
amazon-ir@amazon.com
amazon.com/ir
amazon-pr@amazon.com
amazon.com/pr
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