Amazon's advertising sales growth levels off at $3.5 billion

Amazon has reported its second quarterly advertising sales increase in a row in its Q3 2019 report. 

The company's "other" segment, which primarily includes sales of advertising services, as well as sales related to its other service offerings, totaled $3.5 billion for Q3, up from $3 billion in Q2 2019. 

This was a continued improvement on a quarter-to-quarter decline in ad sales from $3.3 billion to $2.7 billion from Q4 2018, to Q1 2019

But while year-on-year growth in the segment also rose to 45% (excluding F/X), ahead of last quarter’s 37%, that was still a far cry from the highs of 129% growth seen in Q2 2018, suggesting that rapid growth has begun to level out.

Overall revenue at Amazon increased to $70 billion for the quarter, beating analyst estimates of $67.7 billion.

However its reported earnings per share of $4.31 fell short of its $4.57 expectations.

While revenue was up, net income was down year-on-year, totaling $2.1 billion in Q3 2019, compared with $2.9 billion during the same period last year.