Executive Summary

• Amazon.com reported 4Q18 EPS of $6.04, beating the $5.65 consensus estimate and up 61% year over year. Revenues were $72.43 billion, up 19.7% year over year and beating the consensus estimate of $57.1 billion.
• Amazon Web Services (AWS) was the fastest-growing segment by far, growing 45.3%. North American revenues grew 18.3% and international revenues grew 15.5%.
• 1Q19 guidance was for revenues of $56-$60 billion (up 10%–18% year over year), below the consensus estimate of $60.8 billion, and operating income of $2.3-3.3 billion, up from $1.9 billion in 1Q18.