Operating income rose 43% to $27.5 billion, while Anthropic-related investment income lifted the bottom line. Trailing-12-month free cash flow moved to a $7.6 billion outflow as AI investment increased.
Amazon reported second-quarter results on July 30, 2026, after the U.S. market closed. Net income for the three months ended June 30 reached $62.647 billion, up 245% from $18.164 billion a year earlier, and diluted earnings were $5.75 per share. The income statement behind that result included $53.415 billion in pre-tax non-operating other income, primarily from Amazon's investments in Anthropic.
Amazon shares rose 15.3% in the July 31 U.S. regular session following the release. The Associated Press reported that accelerating AWS growth and higher operating profit shaped the market response to Amazon's large AI investments.
$53.4 billion in pre-tax other income
Quarterly net sales increased 20% to $200.606 billion, while operating income rose 43% to $27.461 billion. Net other income increased to $53.415 billion from $1.117 billion in the same quarter last year.
| Measure | Q2 2026 | Q2 2025 |
|---|---|---|
| Net sales | $200.606 billion | $167.702 billion |
| Operating income | $27.461 billion | $19.171 billion |
| Other income, net | $53.415 billion | $1.117 billion |
| Net income | $62.647 billion | $18.164 billion |
| Diluted earnings per share | $5.75 | $1.68 |
After interest income and interest expense, total non-operating income was $53.396 billion. Income before taxes was $80.857 billion, and the income-tax provision was $18.199 billion.
Amazon did not publish a comparable adjusted net-income figure excluding the Anthropic-related income. The $53.415 billion figure is pre-tax, while the reported $62.647 billion net income is after tax, so subtracting one directly from the other would not produce a comparable adjusted result.
AWS sales growth of 37%
AWS sales rose 37% to $42.232 billion, the fastest growth rate Amazon has reported for the segment in 18 quarters. AWS operating income increased 64% to $16.621 billion from $10.160 billion, and its operating margin widened to 39.4% from 32.9%.
North America sales increased 16% to $116.177 billion, while International sales rose 15% to $42.197 billion. Amazon's total sales of $200.606 billion exceeded the $197.03 billion analyst estimate cited by AP from FactSet.
In its July 31 market report, AP said analysts viewed the acceleration in cloud growth as a possible signal that Amazon's AI investments were contributing to higher profit. That was an attributed market interpretation; the Anthropic-related non-operating income and AWS operating results are separate lines in Amazon's accounts.
A $7.6 billion trailing-12-month free cash outflow
Operating cash flow for the trailing 12 months ended June 30 increased 33% to $161.403 billion. Purchases of property and equipment, net of proceeds and incentives, reached $169.007 billion over the same period. Amazon's reported free cash flow therefore shifted to an outflow of $7.604 billion from an inflow of $18.184 billion a year earlier.
Amazon said the $66.1 billion year-over-year increase in property and equipment purchases primarily reflected AI investment. AP reported that Chief Executive Andy Jassy raised Amazon's expected 2026 capital spending to $220 billion from $200 billion during the earnings call and cited higher memory-chip costs as the main reason for the increase.
Third-quarter sales guidance of $197 billion to $202 billion
Amazon projected third-quarter net sales of $197 billion to $202 billion, representing growth of 9% to 12% from the same period in 2025. It forecast operating income of $22.5 billion to $26.5 billion, compared with $17.4 billion a year earlier. The FactSet sales estimate cited by AP was $203.9 billion.