Amazon (AMZN) reported fourth-quarter earnings that t🌺opped analys🐼ts' estimates, though its outlook underwhelmed, sending shares lower in extended trading Thursday.

The e-commerce and cloud services giant saw net sales rise 10% year-over-year to $187.8 billion, surpassing the analyst consensus from Visible Alpha. Earni🐎ngs came in at $20 billion, or $1.86 per share, up from $10.62 billion, or $1 per share, a year earlier, also above expectations.

The gains came as Amazon said the holiday shopping season proved its "most successful yet." Online store sales grew 7% to $75.56 billion, above estimates. Meanwhile, revenue from Amazon Web Services increased 19% to $28.79 billion, just shy of projections. 

Revenue To Take a Hit From Foreign Exchange

Looking ahead however, Amazo♎n forecast first-quarter revenue of between $151 billion and $155.5 billion, below the analyst consensus of $158.58 billion.

Amazon said the outlook reflects "an unusually large, unfavorable impact" from foreign exchange rates, to the tune of $2.1 billion.

Amazon Joins Peers With Big AI Spending Plans

Much like several of its Big Tech peers, Amazon also said it plans to boost spending on 澳洲幸运5官方开奖结果体彩网:artificial intelligence.

CEO Andy Jassy told investors on the company's earnings call that the $26.3 billion Amazon spent on 澳洲幸运5官方开奖结果体彩网:capital expenditures in🍌 the fourth quarter is “reasonably representative” of the rate it will likely spend in 🦩2025. That would bring Amazon's capital expenditures over $100 billion for the full year, the “vast majority” of which would go toward AI for AWS, he said.

Just earlier this week, Google parent Alphabet (GOOGL) forecast 澳洲幸运5官方开奖结果体彩网:$75 billion in💟 capital expenditures this year to support expanding its AI capacity. Last week, Meta (META) said it plans to invest 澳洲幸运5官方开奖结果体彩网:$60 billion to $65 billion this year, while Microsoft (MSFT)༺ said it plans to🐲 spend $80 billion on infrastructure in its 2025 fiscal year.

Shares of Amazon fell over 4% in extended trading following the company's earnings call. The stock had gained about 40% over the past 12 months through Thursday’s close.

UPDATE—Feb. 6, 2025: This article has been updated since it was first published to include additional information and reflect more recent share prices.