Amazon reported $17.1 billion in net income for the first quarter of 2025, up from $10.4 billion a year earlier, on sales of $155.7 billion. The company also flagged tariff and trade policies as a risk to future results when it issued its Q2 outlook. It did not quantify any tariff-related cost in its Q1 results.
Amazon’s Q1 2025 results at a glance
Amazon announced results on May 1, 2025, for the quarter ended March 31. Its sales and earnings figures were higher than in the same quarter of 2024:
| Measure | Q1 2025 | Q1 2024 or year-over-year change |
|---|---|---|
| Net sales | $155.7 billion | Up 9%; up 10% excluding a $1.4 billion unfavorable foreign-exchange impact |
| Operating income | $18.4 billion | $15.3 billion |
| Net income | $17.1 billion | $10.4 billion |
| Diluted earnings per share | $1.59 | $0.98 |
Net income is the company’s profit after expenses, while operating income reflects earnings from operations before items such as interest and taxes. Neither figure is the same as cash flow.
How results compared with expectations
GeekWire reported that analysts polled before the release expected $155.1 billion in revenue and diluted earnings per share of $1.36. Amazon’s reported sales of $155.7 billion and diluted EPS of $1.59 exceeded those cited expectations. These consensus figures are from GeekWire’s reporting, not an analyst poll published in Amazon’s release.
What’s actually slowing this PC down?
Pick the symptom - the matching free tool is one click away.
#1 Best Overall
- Your favorite music and content – Play music, audiobooks, and podcasts from Amazon Music, Apple Music, Spotify and others or via Bluetooth throughout your home.
- Alexa is happy to help – Ask Alexa for weather updates and to set hands-free timers, get answers to your questions and even hear jokes. Need a few extra minutes in the morning? Just tap your Echo Dot to snooze your alarm.
- Keep your home comfortable – Control compatible smart home devices with your voice and routines triggered by built-in motion or indoor temperature sensors. Create routines to automatically turn on lights when you walk into a room, or start a fan if the inside temperature goes above your comfort zone.
- Do more with device pairing – Fill your home with music using compatible Echo devices in different rooms, or create a home theatre system with Fire TV.
- Say goodbye to drop-offs and buffering - With eero Built-in, Echo Dot doubles as a mesh wifi extender, adding up to 1,000 sq. ft. of wifi coverage to your existing eero network.
What Amazon said about tariffs
Amazon included “tariff and trade policies” among factors that could materially affect results, alongside foreign-exchange rates, economic conditions, customer spending, inflation and interest rates. GeekWire reported that the tariff and trade wording was newly included in the risk discussion accompanying Amazon’s Q2 guidance, compared with the prior quarter.
This was a warning about uncertainty ahead, not a report of a known tariff expense in Q1. The company did not identify a specific tariff-driven impact on first-quarter profit, confirm that it would raise prices because of tariffs, or predict a particular trade-policy outcome.
Rank #2
- Your favorite music and content – Play music, audiobooks, and podcasts from Amazon Music, Apple Music, Spotify and others or via Bluetooth throughout your home.
- Alexa is happy to help – Ask Alexa for weather updates and to set hands-free timers, get answers to your questions and even hear jokes. Need a few extra minutes in the morning? Just tap your Echo Dot to snooze your alarm.
- Keep your home comfortable – Control compatible smart home devices with your voice and routines triggered by built-in motion or indoor temperature sensors. Create routines to automatically turn on lights when you walk into a room, or start a fan if the inside temperature goes above your comfort zone.
- Do more with device pairing – Fill your home with music using compatible Echo devices in different rooms, or create a home theatre system with Fire TV.
- Say goodbye to drop-offs and buffering - With eero Built-in, Echo Dot doubles as a mesh wifi extender, adding up to 1,000 sq. ft. of wifi coverage to your existing eero network.
AWS and cash flow add context
AWS
Amazon Web Services generated $29.3 billion in Q1 sales, up 17% year over year, and $11.5 billion in operating income. AWS was therefore a substantial part of the company’s reported business, though its sales and operating income are distinct measures.
Cash flow
For the trailing 12 months, Amazon reported operating cash flow of $113.9 billion, up 15%, and free cash flow of $25.9 billion, down from $50.1 billion. These are trailing-twelve-month figures, not cash-flow totals for Q1 alone. The decline in free cash flow alongside higher net income illustrates why profit and cash flow should not be treated as interchangeable.
Rank #3
- Meet Echo Dot Max: Experience rich room-filling sound that automatically adapts to your space and fine-tunes playback. Features a built-in smart home hub and Omnisense technology for highly personalized experiences.
- Music to your ears: With nearly 3x the bass versus Echo Dot (2022 release), it fits beautifully in any space, delivering your personal sound stage with deep bass and enhanced clarity. Listen to streaming services, such as Amazon Music, Apple Music, Spotify, and SiriusXM. Encore!
- Do more with device pairing: Connect compatible Echo smart speakers and smart displays in different rooms, or pair with a second Echo Dot Max to enjoy even richer sound. Pair your Echo Dot Max with compatible Fire TV devices to create a home theater system that brings scenes to life.
- Simple smart home control: Set routines, pair and control lights, locks, and thousands of smart home devices that work with Alexa without needing a separate smart home hub. With Omnisense technology, you can activate routines via temperature or presence detection.
- Say goodbye to drop-offs and buffering - With eero Built-in, Echo Dot Max doubles as a mesh wifi extender, adding up to 1,000 sq. ft. of wifi coverage to your existing eero network.
Amazon’s Q2 2025 outlook was a forecast
On May 1, Amazon forecast Q2 net sales of $159.0 billion to $164.0 billion and operating income of $13.0 billion to $17.5 billion. The sales forecast included an approximately 10-basis-point unfavorable foreign-exchange impact, and the company cautioned that its forecasts were subject to substantial uncertainty.
Those figures were management’s outlook at the time, not actual Q2 results or current guidance. The outlook’s risk language is where the tariff warning matters: Amazon identified trade policy as a possible influence on future performance without assigning it a dollar amount.
Quick Recap
Best Value
- MEET ECHO SPOT - A sleek smart alarm clock with Alexa and big vibrant sound. Ready to help you wake up, wind down, and so much more.
- CUSTOMIZABLE SMART CLOCK - See time, weather, and song titles at a glance, control smart home devices, and more. Personalize your display with your favorite clock face and fun colors.
- BIG VIBRANT SOUND - Enjoy rich sound with clear vocals and deep bass. Just ask Alexa to play music, podcasts, and audiobooks. See song titles and touch to control your music.
- EASE INTO THE DAY - Set up an Alexa routine that gently wakes you with music and gradual light. Glance at the time, check reminders, or ask Alexa for weather updates.
- KEEP YOUR HOME COMFORTABLE - Control compatible smart home devices. Just ask Alexa to turn on lights or touch the screen to dim. Create routines that use motion detection to turn down the thermostat as you head out or open the blinds when you walk into a room.
Rank #4
- Your favorite music and content – Play music, audiobooks, and podcasts from Amazon Music, Apple Music, Spotify and others or via Bluetooth throughout your home.
- Alexa is happy to help – Ask Alexa for weather updates and to set hands-free timers, get answers to your questions and even hear jokes. Need a few extra minutes in the morning? Just tap your Echo Dot to snooze your alarm.
- Keep your home comfortable – Control compatible smart home devices with your voice and routines triggered by built-in motion or indoor temperature sensors. Create routines to automatically turn on lights when you walk into a room, or start a fan if the inside temperature goes above your comfort zone.
- Do more with device pairing – Fill your home with music using compatible Echo devices in different rooms, or create a home theatre system with Fire TV.
- Say goodbye to drop-offs and buffering - With eero Built-in, Echo Dot doubles as a mesh wifi extender, adding up to 1,000 sq. ft. of wifi coverage to your existing eero network.
Sources
- Amazon’s Q1 2025 results release
- GeekWire’s report on Amazon’s results and analyst expectations
- Amazon’s SEC-filed Q1 2025 exhibit
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
