Free Plan
Revenue to profit breakdown for FY2023
Key Insight: AWS = 15.8% of revenue but 66.8% of operating profit (24.6B / 36.9B total). Cloud subsidizes retail market share strategy.
$143.7B avg/quarter
47.0% margin
6.4% margin
37.9% conversion
$90.6B
15.8% of revenue
$85.6B
14.9% of revenue
$44.4B
7.7% of revenue
$11.8B
2.1% of revenue
$747M
0.1% of revenue
Operating income +201% YoY. North America retail turned profitable after FY2022 losses.
Implication: Proves retail can be profitable at scale. Reduces dependence on AWS for company profitability.
$47B revenue at 24% growth. Near-100% incremental margin.
Implication: Could rival AWS in profit contribution within 3-5 years.
13% growth vs 37% in FY2021. But $24.6B operating profit is still massive.
Implication: Growth re-acceleration depends on AI workload adoption.
Third-party services growing 19% vs 1P retail at 5%.
Implication: Platform model improving capital efficiency.