Amazon Q4/FY2024
Amazon published its 2024 results last night. Below you find an overview of the revenue performance of its underlying segments. For readability, amounts have been rounded.
Online Stores
Amazon’s revenue from Online Stores reached $247 billion in 2024, which is 6.5% higher than in FY2023 ($232 billion). Over the past fiscal year, this segment accounted for 39% of Amazon’s total revenue. This is slightly lower compared to previous years, as most other segments grew at a much faster pace over the past year.
Physical Stores
With 3.3% of Amazon’s total revenue, sales from Physical Stores contribute only a small portion to the company’s overall success (in revenue). Sales increased by 5.9% over the past fiscal year to just over $21 billion (FY2023: $20 billion). Of all segments, Physical Stores experienced the slowest revenue growth, causing its relative share to shrink further compared to previous years.
Third-Party Seller Services
Amazon’s commissions from facilitating Third-Party Seller Services grew by 11.5% to $156 billion in FY2024, up from $140 billion in FY2023. This segment accounts for 24.5% of Amazon’s total revenue.
Subscription Services
Amazon’s revenue from Subscription Services—including Amazon Prime—grew by 10.4% to over $44 billion (FY2023: $40 billion). This segment currently contributes about 7% to Amazon’s total revenue.
Advertising Services
Now we come to Amazon’s fastest-growing segment: Advertising Services. Revenue from this segment increased by 19.8% year-over-year to $56 billion (FY2023: $47 billion). As a result, it is becoming increasingly important to Amazon’s success in the coming years, even though it currently represents a relatively small share of total revenue (8.8%).
Amazon Web Services (AWS)
Amazon generated over $107 billion in FY2024 from its cloud services division, Amazon Web Services (AWS). Sales grew by 18.5%, up from nearly $91 billion in FY2023.
Together with other income, Amazon’s total revenue grew by 11%, from $575 billion in FY2023 to $638 billion. An impressive achievement at this scale.
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