The company's shares, which closed down 0.05 percent on Thursday, rose about 6 percent in after-hours trading following the quarterly earnings statement.
Last quarter, Amazon itself forecast Q3 revenues of $39.25 to $41.75 billion, although its internal estimates are usually pretty conservative.
For the third quarter ended September 20, Amazon.com posted net income of $256 million, or 52 cents per diluted share, compared with net income of $252 million, or 52 cents per diluted share, in the 2016 period. Management had guided for third-quarter operating income to be between a loss of $400 million and a gain of $300 million. But some analysts believe the honeymoon between Amazon and the recently-acquired Whole Foods Market may be ending, with signs of a clash between the two corporate cultures beginning to emerge. Analysts had predicted just over $42 billion in revenue.
Karen Short, an analyst who follows Amazon for Barclays, has been keeping close tabs on changes in Whole Foods stores since the merger, "given the widespread concern that food retail will be 'Amazon'ed, '" she writes in her most recent report. Operating income from e-commerce sales in North America was $112 million.
Net sales for the fourth quarter, the company said, are expected to be between 56 billion and 60.5 billion dollars or to grow between 28 percent and 38 percent compared with fourth quarter 2016.
"Advertising revenue continues to grow very quickly and its year-over-year growth rate is actually faster than the other revenue line item that you see there [59 per cent]", Olsavsky said. Along with AWS, Business Prime Shipping gives Amazon another service offering for the growing B2B e-Commerce market.
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Also new is a feature to limit the power usage of background applications, which will make them less of a drain on battery life. HTC has confirmed that three of its devices - HTC 10, U11 and U Ultra will get Oreo's sweetness by Nov.
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Though those two sources of income are up, revenue from the overall personal computing market remains relatively stagnant. That said, cloud revenue continues to dominate Microsoft's earnings, raking in nearly $20 billion this past quarter.
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In year-on-year terms, third-quarter growth was unchanged at 1.5%, also slightly stronger than analysts had expected. Another report from the ONS showed that the index of services climbed 0.2 percent in August from July.
The arrival of a simple monetization feature will likely draw in big name developers with original titles which would help cement Amazon's role as the leading voice digital assistant platform, with the company able to offer monetization options, reach and engagement, a combination not available on any other platform.
"Customers have purchased tens of millions of Alexa-enabled devices..." Amazon had almost 542,000 employees at the end of last month, about 160,000 more than it had the year before.
All that said, it is clear that Amazon's own online stores are no longer the star of the show.
An Amazon Echo Dot is displayed during a program announcing several new Amazon products by the company, in Seattle. The midpoint of Amazon's guidance for that period now sits at $68 billion, including a $4.4 billion Whole Foods contribution.
But Whole Foods Market's integration during the quarter didn't stop the new business from contributing operating income to Amazon's overall business.