Key facts
- Amazon projects fourth-quarter revenue of $240 billion to $247 billion.
- Analysts' average estimate for fourth-quarter revenue was $244.51 billion.
- Amazon Web Services revenue rose 39% to $46 billion in the third quarter.
Amazon.com Inc. projected fourth-quarter revenue largely below Wall Street estimates on Thursday, raising concerns over muted retail demand over the crucial holiday season as higher household costs amid rising inflation pressure consumer spending. The company expects revenue of $240.0 billion and $247.0 billion in the fourth quarter, compared with analysts' average estimate of $244.51 billion. Revenue at Amazon Web Services rose 39% to $46 billion in the third quarter ended September, compared with analysts' estimate for a 38.2% increase. The downbeat fourth-quarter outlook signals US retailers could face pain in the holiday season, as consumers tighten shopping budgets amid higher gas prices and the rising cost of living.