Amazon Q2 sales 2025 showed surprising resilience, with the e-commerce giant reporting strong consumer demand despite ongoing uncertainty from President Trump’s trade war. During the April to June quarter, Amazon recorded $167.7 billion in revenue, marking a 13% year-over-year increase. Net profit rose sharply to $18.2 billion, a 35% jump.
The upbeat revenue figures reflect continued consumer confidence. However, Amazon executives issued cautious signals, particularly regarding profit margins in the company’s cloud division, Amazon Web Services (AWS). While retail spending remained robust, costs tied to expanding infrastructure are putting pressure on AWS profitability.
Looking ahead to the current quarter ending in September, Amazon projects sales between $174 billion and $179.5 billion. Operating profit is forecast to fall in the $15.5 billion to $20.5 billion range. This wide guidance suggests confidence in consumer activity but acknowledges the unpredictability of costs — especially as stored inventory begins to dwindle.
During an investor call, CEO Andy Jassy emphasized that tariffs have not yet led to widespread price increases. However, he warned that conditions may shift once U.S.-based stockpiles run low. “There are a lot of things that we don’t know,” Jassy said, “but that’s what we’ve seen so far.”
Amazon’s investments in cloud computing and artificial intelligence continue at full speed. Like its Big Tech peers, Amazon is aggressively constructing data centers — enormous server-filled buildings needed to support AI and cloud operations. In May, Jassy said that demand for cloud services exceeded capacity, indicating lost revenue opportunities due to infrastructure limitations.
To address this, Amazon doubled its capital expenditure, spending over $31 billion in Q2 alone, up from the same period last year. Jassy confirmed that similar spending levels will continue for at least two more quarters. However, he acknowledged that backlogs for energy-intensive facilities could persist, potentially impacting future performance.
Despite these pressures, Amazon’s second-quarter results underscore the company’s ability to navigate economic headwinds and shifting consumer behavior. Although cloud margins are under strain, the core retail engine remains strong, keeping Amazon on a growth trajectory.
READ: Arena Mall Kampala: Uganda’s Modern Shopping Destination