Operating Profit Margin
since 2005
Calculation
Amazon.com Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Operating income1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 11.16% | = | 100 | × | 79,975) | ÷ | 716,924) |
| Dec 31, 2024 | 10.75% | = | 100 | × | 68,593) | ÷ | 637,959) |
| Dec 31, 2023 | 6.41% | = | 100 | × | 36,852) | ÷ | 574,785) |
| Dec 31, 2022 | 2.38% | = | 100 | × | 12,248) | ÷ | 513,983) |
| Dec 31, 2021 | 5.30% | = | 100 | × | 24,879) | ÷ | 469,822) |
| Dec 31, 2020 | 5.93% | = | 100 | × | 22,899) | ÷ | 386,064) |
| Dec 31, 2019 | 5.18% | = | 100 | × | 14,541) | ÷ | 280,522) |
| Dec 31, 2018 | 5.33% | = | 100 | × | 12,421) | ÷ | 232,887) |
| Dec 31, 2017 | 2.31% | = | 100 | × | 4,106) | ÷ | 177,866) |
| Dec 31, 2016 | 3.08% | = | 100 | × | 4,186) | ÷ | 135,987) |
| Dec 31, 2015 | 2.09% | = | 100 | × | 2,233) | ÷ | 107,006) |
| Dec 31, 2014 | 0.20% | = | 100 | × | 178) | ÷ | 88,988) |
| Dec 31, 2013 | 1.00% | = | 100 | × | 745) | ÷ | 74,452) |
| Dec 31, 2012 | 1.11% | = | 100 | × | 676) | ÷ | 61,093) |
| Dec 31, 2011 | 1.79% | = | 100 | × | 862) | ÷ | 48,077) |
| Dec 31, 2010 | 4.11% | = | 100 | × | 1,406) | ÷ | 34,204) |
| Dec 31, 2009 | 4.61% | = | 100 | × | 1,129) | ÷ | 24,509) |
| Dec 31, 2008 | 4.39% | = | 100 | × | 842) | ÷ | 19,166) |
| Dec 31, 2007 | 4.42% | = | 100 | × | 655) | ÷ | 14,835) |
| Dec 31, 2006 | 3.63% | = | 100 | × | 389) | ÷ | 10,711) |
| Dec 31, 2005 | 5.09% | = | 100 | × | 432) | ÷ | 8,490) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The operating profit margin exhibited considerable fluctuation over the observed period, spanning from 2005 to 2025. Initial values demonstrated a moderate level, followed by a period of decline and subsequent recovery, culminating in significant expansion in the later years.
- Early Period (2005-2009)
- From 2005 to 2006, the operating profit margin decreased from 5.09% to 3.63%. A recovery was then observed, reaching 4.61% in 2009, although remaining below the initial 2005 level. This period suggests initial challenges in maintaining profitability alongside revenue growth, followed by some stabilization.
- Period of Contraction (2010-2014)
- The years 2010 through 2014 witnessed a marked decline in the operating profit margin. Starting at 4.11% in 2010, it progressively decreased to a low of 0.20% in 2014. This contraction indicates increasing cost pressures or a shift in business strategy prioritizing revenue growth over immediate profitability. The operating income also shows a significant dip in 2014.
- Recovery and Growth (2015-2019)
- Beginning in 2015, the operating profit margin began a recovery trajectory, increasing from 2.09% to 5.18% in 2019. This improvement coincided with substantial growth in net sales and operating income, suggesting successful implementation of cost control measures or a favorable shift in the business mix. The growth was not linear, with 2016 showing a more substantial increase than subsequent years.
- Accelerated Expansion (2020-2025)
- The period from 2020 to 2025 demonstrated a period of accelerated expansion in the operating profit margin. It rose from 5.93% in 2020 to 11.16% in 2025, reaching its highest point in the observed timeframe. This substantial increase, coupled with significant growth in both net sales and operating income, suggests a highly successful period of operational efficiency and market positioning. The margin nearly doubled over this five-year span.
Overall, the operating profit margin demonstrates a cyclical pattern with a clear upward trend in the most recent years. The company experienced a period of profitability challenges in the early 2010s, but successfully navigated these challenges and achieved significant improvements in profitability in the latter part of the period.
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Comparison to Competitors
Amazon.com Inc., operating profit margin, long-term trends, comparison to competitors
| Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | |
|---|---|---|---|
| Dec 31, 2025 | 11.16% | 13.49% | 12.51% |
| Dec 31, 2024 | 10.75% | 14.21% | 13.38% |
| Dec 31, 2023 | 6.41% | 15.27% | 10.47% |
| Dec 31, 2022 | 2.38% | 15.24% | 12.56% |
| Dec 31, 2021 | 5.30% | 13.84% | 10.77% |
| Dec 31, 2020 | 5.93% | 14.37% | 8.75% |
| Dec 31, 2019 | 5.18% | 14.35% | 5.63% |
| Dec 31, 2018 | 5.33% | 14.55% | 9.60% |
| Dec 31, 2017 | 2.31% | 14.19% | 8.99% |
| Dec 31, 2016 | 3.08% | 13.30% | 8.41% |
| Dec 31, 2015 | 2.09% | 12.59% | 8.52% |
| Dec 31, 2014 | 0.20% | 11.63% | 0.00% |
| Dec 31, 2013 | 1.00% | 10.39% | 0.00% |
| Dec 31, 2012 | 1.11% | 9.46% | 0.00% |
| Dec 31, 2011 | 1.79% | 8.59% | 0.00% |
| Dec 31, 2010 | 4.11% | 7.26% | 0.00% |
| Dec 31, 2009 | 4.61% | 6.11% | 0.00% |
| Dec 31, 2008 | 4.39% | 9.36% | 0.00% |
| Dec 31, 2007 | 4.42% | 10.65% | 0.00% |
| Dec 31, 2006 | 3.63% | 11.49% | 0.00% |
| Dec 31, 2005 | 5.09% | 10.84% | 0.00% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).