Common-Size Income Statement
Quarterly Data
Amazon.com Inc., common-size consolidated income statement (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
- Sales Composition
- The data reveals a declining trend in net product sales as a percentage of total net sales from around 55% in early 2020 to approximately 41% by late 2025. In contrast, net service sales show an increasing pattern, rising from about 45% to nearly 59% over the same period. This indicates a gradual shift in revenue composition, with services becoming a more significant contributor relative to product sales.
- Cost of Sales and Gross Profit
- Cost of sales as a percentage of net sales fluctuates but generally trends downward from near 59% to just below 49%, suggesting improvements in cost efficiency or changes in the product/service mix. Correspondingly, gross profit margins have increased from roughly 41% in 2020 to above 50% by 2025, reflecting enhanced profitability at the gross level.
- Operating Expenses
- Fulfillment expenses have slightly varied but overall remain relatively stable around the 15-16% range of net sales, with minor fluctuations. Technology and infrastructure costs have a more volatile pattern, initially decreasing, then increasing sharply around the 2022-2024 period before stabilizing at a higher level in the 14-16% range towards the end of the timeline. Sales and marketing expenses have generally grown from under 6% to about 7% of net sales before slightly declining to approximately 6.5%. General and administrative expenses have stayed proportionally low and stable, fluctuating between 1.5% and 2.5%.
- Operating Income
- Operating income as a percentage of net sales shows considerable variability, initially around 5%, rising to a peak exceeding 11% by the early 2025 period before a slight decline near 9.7%. This suggests periods of strong operational profitability growth punctuated by some contractions, possibly linked to changing expense structures or market conditions.
- Interest and Other Income/Expense
- Interest income remains modest but gradually increases from near 0.1% to around 0.7-0.8% of net sales by mid-cycle, then slightly moderates toward 0.6%. Interest expense is relatively stable, ranging between 0.3% to 0.65%, with no significant upward or downward trends, indicating consistent financing costs. Other income/expense exhibits high volatility with occasional spikes and troughs, notably a large positive spike near the end of 2021, which significantly influences the non-operating income line.
- Income Before and After Taxes
- Income before income taxes shows an upward trend, moving from approximately 4.5% to over 15.5% by 2025, albeit with some intermittent declines including notable negative figures around early 2022. The tax provision fluctuates but generally represents a negative impact on net income, reflecting tax expenses that correspond with pre-tax income changes.
- Net Income
- Net income displays growth from around 3.3% to nearly 12% of net sales by 2025, subject to some volatility. There is a marked dip into negative territory in early 2022 but a strong recovery afterward, indicating resilience in overall profitability despite temporary setbacks.