Amazon's first-quarter guidance anticipates a $2.1 billion headwind from foreign exchange rates, potentially leading to the company's slowest revenue growth in its 28-year history. The strengthening dollar is impacting tech giants reliant on overseas revenues, as earnings converted back to dollars are worth less.
Amazon said in its earnings report on Thursday that its guidance for the first quarter assumes a $2.1 billion headwind from foreign exchange rates.
Revenue growth in the first quarter could be the slowest on record in the company's 28 years on the public market. Revenue in the current quarter will land between $151 billion and $155.5 billion, suggesting annual growth of just 5% to 9%. Amazon's slowest quarter for growth came in mid-2022, when revenue increased by 7.2%.
AMAZON REVENUE GROWTH FOREIGN EXCHANGE DOLLAR STRENGTHENING TECH COMPANIES
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