Amazon CEO says Prime Video now profitable with revenue run‑rate in the tens of billions
On the third‑quarter earnings call, Amazon CEO Andy Jassy said Prime Video has become a profitable business with an annualised revenue run‑rate in the tens of billions of dollars. The company posted Q3 net sales of $201.9 billion, a profit of $1.95 per share, and noted that the subscription segment that includes Prime Video grew 12% to $14 billion. After the release, Amazon’s shares slipped more than 5% in after‑hours trading.
Why it matters
The statement highlights Prime Video as a growing profit centre beyond its role in customer retention, which could influence analysts’ revenue forecasts for Amazon’s media segment. The after‑hours share decline shows immediate market reaction to the mixed earnings and guidance.
Key facts
- 1Amazon reported Q3 net sales of $201.9 billion thewrap.com
- 2Profit was $1.95 per share thewrap.com
- 3Prime Video’s revenue run‑rate is in the "tens of billions" of dollars thewrap.com
- 4The subscription segment, which includes Prime Video, rose 12% to $14 billion thewrap.com
- 5Shares fell more than 5% in after‑hours trading thewrap.com
- 6Amazon launched 34 new devices during the quarter tradingview.com
Summary written by AlphAI AI Desk from 6 of 6 sources. Not investment advice. Figures are as stated by the linked sources.