In a surprising turn of events, Amazon revealed its latest earnings report, showcasing results that exceeded expectations despite cautioning on a less-than-rosy future outlook.

The e-commerce titan emphasized its unwavering commitment to maintaining low prices in light of looming tariffs. CEO Andy Jassy stated the company is "maniacally focused on" keeping prices affordable for consumers, even as potential price hikes from sellers remain a concern.

Jassy noted that Amazon's diverse product selection and competitive pricing could reinforce its status as a go-to shopping destination, reminiscent of its surge in popularity during the COVID pandemic. He confidently projected that Amazon Web Services (AWS) would continue to thrive as more businesses seek AI solutions, promising significant returns on those investments.

In a shining highlight, Amazon's advertising revenue surged by 19%, serving as a key contributor to its profits.

The company reported total sales of $155.67 billion, surpassing analysts' estimates of $155.1 billion, with earnings per share hitting $1.59, outshining expectations of $1.36.

However, the cloud segment's sales fell short of analyst predictions, contrasting with the stronger-than-anticipated performance from Amazon's online retail division.

Looking ahead, Amazon's guidance for the upcoming quarter was less favorable than expected, projecting operating income between $13.0 billion and $17.5 billion, below Wall Street's forecast of $17.82 billion.

Following this news, Amazon shares experienced a dip of approximately 3% in extended trading, contributing to a notable 13% drop year-to-date.