Amazon reports Q3 2026 results: AWS growth near 39%, record operating margin, EPS short of estimates

Amazon's third-quarter 2026 report, released October 29, showed net sales up 12% to about $201.9 billion, with AWS revenue up 39% to $46.0 billion and operating income of $28.1 billion, a 13.9% margin the company called its highest ever. Diluted earnings were $1.89 a share, below the prior-year $1.95, which had been lifted by a $9.5 billion pre-tax gain tied to the Anthropic stake. Revenue and EPS came in slightly under consensus, and press coverage reported the shares falling roughly 7% in premarket trading the following day. Management said AWS revenue growth should top 40% in both 2027 and 2028.

1. Q3 2026 net sales rose 12% year over year to $201.9 billion (Q3 2025: $180.2 billion), per the company's release dated October 29, 2026.
2. AWS segment sales rose 39% to $46.0 billion; AWS operating income was $17.8 billion versus $11.4 billion a year earlier.
3. Consolidated operating income was $28.1 billion (13.9% margin) versus $17.4 billion in Q3 2025.
4. North America segment sales were $112.9 billion (up 6%) and International segment sales were $43.1 billion (up 5%).
5. Net income was $20.7 billion, or $1.89 per diluted share, versus $1.95 a year earlier; the prior-year quarter included a $9.5 billion pre-tax Anthropic-related gain.
6. Press coverage reported EPS of $1.89 against a consensus near $1.97 and revenue slightly below consensus of about $202.3 billion.
7. Coverage reported Amazon shares down about 7% in premarket trading on October 30, 2026; this was press-reported and not a company disclosure.
8. CEO Andy Jassy said the company projects AWS revenue growth above 40% in both 2027 and 2028.