KUALA LUMPUR, Dec 5 (Bernama) -- Bursa Malaysia closed lower on Friday amid mixed regional market performance as investors turned cautious over a possible rate hike by the Bank of Japan (BOJ) and upcoming US economic data that may influence the Federal Reserve’s (Fed) interest rate decision next week. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) pared most earlier losses to settle 4.55 points easier, or 0.28 per cent, to 1,616.52 from Thursday’s close of 1,621.07. The benchmark index, which opened 0.37 of-a-point lower at 1,620.70, moved between 1,609.67 and 1,621.25 throughout the day. The broader market was negative, with decliners outpacing advancers 604 to 439. A total of 550 counters were unchanged, 1,151 untraded, and 18 suspended. Turnover declined to 3.17 billion units worth RM2.24 billion from 4.48 billion units worth RM2.75 billion yesterday. Rakuten Trade Sdn Bhd vice-presiden...
Amazon (NASDAQ: AMZN) delivered a stronger-than-expected third-quarter performance, powered by a 20% surge in AWS revenue — the fastest growth in three years. The upbeat results pushed the stock up as much as 13% after hours, reaffirming investor confidence in the company’s AI-driven growth story.
Key Highlights at a Glance
Revenue: $180.2 billion (+13% YoY) — beating analysts’ $177.8 billion estimate
Operating Income: $17.4 billion (flat YoY), or $21.7 billion excluding one-off charges
Net Income: $21.2 billion vs. $15.3 billion last year
EPS: $1.95 vs. $1.58 expected
AWS Growth: +20% YoY to $33.0 billion — beating forecasts and driving earnings surprise
Stock Movement: +13% after-hours; current P/E ratio above 33x
AWS Fuels the Growth Engine
AWS remains Amazon’s biggest profit driver, contributing two-thirds of total operating income.
Revenue: $33.0 billion (+20% YoY) — vs. $32.42 billion expected
Operating Income: $11.4 billion (+9% YoY)
However, margins are tightening as the company ramps up AI infrastructure spending, leading to higher depreciation expenses. Despite this, AWS’s performance reinforces its dominant position in the global cloud market.
Segment Breakdown
North America:
Sales up 11% to $106.3 billion
Operating income at $4.8 billion, but would have been $7.3 billion excluding a $2.5 billion FTC settlement
International:
Sales up 14% to $40.9 billion (10% excluding FX)
Operating income slightly lower at $1.2 billion
AWS:
Continued to outperform peers with double-digit growth and expanding AI adoption
AI Investment & CapEx Outlook
Amazon is ramping up AI infrastructure investments, projecting $125 billion in 2025 capital expenditures, topping Wall Street’s $118.8 billion forecast.
Spending is expected to increase further in 2026, fueled by cloud capacity expansion and in-house AI chip demand.
The company also expanded its $11 billion “Rainier Program” with Anthropic, strengthening its position in the AI ecosystem.
Q4 2025 Guidance
- Revenue: $206–$213 billion (+10–13% YoY)→ Midpoint of $209.5B beats market consensus of $208.45B
Operating Income: $21–$26 billion (vs. $21.2B in Q4 2024)
The company expects steady growth momentum heading into the holiday season.
Investor Takeaway
Amazon’s Q3 beat highlights AWS’s resurgence and strong AI-led spending trends.
However, heavy CapEx and moderating profit margins could weigh on short-term valuation. With a P/E above 33x, the stock isn’t cheap — but for long-term investors betting on AI infrastructure and cloud dominance, Amazon remains a compelling play.
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