How Important Is The Web Services Business To Amazon?
Amazon (NASDAQ:AMZN) reported stellar Q1 2016 results last month, with net sales growing about 28% year-over-year (y-o-y) to $29.1 billion and operating income growing about 310% y-o-y to $1.07 billion. In this note, we calculate how important Amazon Web Services (AWS) is to the company’s results and how the business fared in the last quarter.
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Notes:
1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Amazon
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