Amazon Q1 revenue hits $181.5 billion; capex jumps 77%
Amazon’s Q1 EPS was $2.78 versus the $1.63 estimate and revenue hit $181.5 billion, driven by 28% AWS growth and a $20 billion chip business run rate. Free cash flow plunged to $1.2 billion over twelve months as Q1 capex spiked 77% to $44.2 billion, backing a $200 billion FY26 AI infrastructure plan.
1. Record Profit and Revenue Outperformance
Amazon delivered Q1 EPS of $2.78, well above the $1.63 analyst estimate, while revenue reached $181.5 billion, surpassing the $177.1 billion forecast and marking a strong top-line performance across its core segments.
2. AWS and High-Margin Segment Acceleration
Amazon Web Services posted 28% year-over-year growth, its fastest in 15 quarters, the in-house silicon business crossed a $20 billion annual run rate, and advertising revenue climbed past $70 billion on a trailing-twelve-month basis.
3. Infrastructure Spending and Cash Flow Decline
Capital expenditures jumped 77% to $44.2 billion in Q1, driving trailing-twelve-month free cash flow down to $1.2 billion, as Amazon invests toward a $200 billion FY26 framework to expand AI compute capacity and global infrastructure.