Amazon reported robust third-quarter earnings, surpassing Wall Street expectations with a record profit of $15.3 billion and operating margins increasing to 11% from 7.8% a year ago. The company's revenue grew 11% year-over-year to $159 billion, driven by strong performance in its cloud computing division, Amazon Web Services (AWS), and its advertising business. AWS revenue increased 19% to $27.5 billion, achieving a $110 billion annual run rate, with operating margins improving to a record 38%. AWS accounted for over 60% of Amazon's overall operating profits, and its growth has accelerated for four consecutive quarters. Advertising revenue rose 19% to $14.33 billion, bringing the annual run rate to $56 billion. Amazon also noted a significant increase in capital expenditures, which grew 81% year-over-year to $22.6 billion in the quarter, expecting to spend around $75 billion in 2024, primarily on AWS and investments in artificial intelligence. CEO Andy Jassy highlighted the company's accelerated growth in AWS and the substantial opportunity presented by generative AI, noting that Amazon's AI business is growing at triple-digit rates, three times faster than AWS at the same stage. Amazon guided fourth-quarter revenue between $181.5 billion and $188.5 billion. Shares of Amazon rose over 7% following the earnings release.