Breaking

Amazon Posts Record Operating Margin Despite 11% Shipping Cost Surge

Amazon achieved its highest operating margin ever at 13.9% in third quarter 2026, even as freight expenses climbed 11% year-over-year. The e-commerce giant reported Q3 revenue of $201 billion and earnings per share of $1. CEO Andy Jassy credited same-day fulfillment facilities and robotics investments with lowering cost-to-serve for a fourth consecutive year. Navigating elevated fuel and linehaul rates, Amazon reduced shipping costs to 8% growth (excluding fuel and inflation pressures) while units grew 12%. North America operations generated $112.9 billion in revenue with operating income reaching $8.8 billion, up approximately 81% year-over-year. The company delivered more than 1.5 billion items via same-day or overnight service during the quarter, setting a new speed record for Prime members.