Global e-commerce giant Amazon.com, Inc. has reported a growth of 13% in its net sales for the third quarter ending September 30, 2023.
In its Q3 2023 results, the company saw a growth of 26% from the sales of advertising services at $12.06 billion, up from $9.5 billion.
Net sales of the global company increased to $143.1 billion in the third quarter, compared with $127.1 billion in the same quarter in 2022. Net income increased to $9.9 billion in Q3 FY23 from $2.9 billion in the same period previous fiscal.
According to the company, its North America segment sales increased 11% year-on-year to $87.9 billion; International segment sales increased 16% year-over-year to $32.1 billion; and AWS segment sales increased 12% year-over-year to $23.1 billion.
Its operating income increased to $11.2 billion in Q3 FY23, compared with $2.5 billion in the third quarter of 2022.
Depreciation and amortization of property and equipment and capitalized content costs, operating lease assets, and others grew to $12.13 billion in Q3 2023, up from $10.32 billion in Q3 2022.
“We had a strong third quarter as our cost to serve and speed of delivery in our Stores business took another step forward, our AWS growth continued to stabilize, our Advertising revenue grew robustly, and overall operating income and free cash flow rose significantly,” said Andy Jassy, Amazon CEO.
In its financial report, the company said it had introduced generative AI capabilities to help sellers create product listings as part of numerous innovations at Accelerate 2023, Amazon’s annual seller conference.
“In India, Amazon also announced a generative AI–based digital assistant to help small businesses establish an e-commerce presence. The tool will help sellers with registration, listing, and advertising,” it said.
The company also said that it launched Prime Video Channels and the Prime Video Store in Chile and Colombia. It grew Prime Video’s international slate of content with more than 40 local Amazon Originals, including the popular Indian show ‘Made In Heaven’.
The company also reported a decline in employee numbers by 44,000 in the third quarter of the current year compared to the same period last year.
At the end of Q3 FY23, Amazon.com has 15 lakh employees, down from 15.44 lakh in Q3 FY22.
The company has, however, announced that it will hire 2.5 lakh full-time, part-time, and seasonal employees in the U.S. this holiday season.
It said that Amazon has extended its family building and fertility benefits to support more than 1 million employees and their partners across Africa, Asia-Pacific, Europe, Latin America, and the Middle East.
