Amazon’s Spanish Subsidiaries Report €2.945 Billion in Revenue but Register a €36 Million Loss

Amazon’s Complex Corporate Structure in Spain

Amazon’s corporate structure in Spain is intricate, involving various subsidiaries for different types of business operations and branches that bill through Luxembourg. The e-commerce giant does not consolidate its accounts in Spain, so the only public figure is the €7.1 billion in revenue that Amazon claims to generate in the country annually, without disclosing profits.

Revenue Generated by Amazon’s Spanish Subsidiaries

Data analyzed by this publication reveals that Amazon conducts part of its sales through seven national subsidiaries, each responsible for different services. These subsidiaries collectively report €2.945 billion in revenue and register losses amounting to €36.2 million, according to the 2023 financial statements filed with the Spanish Commercial Registry. The remaining revenue, up to the €7.1 billion, is accounted for by its Luxembourg-based parent companies, which do not break down figures by country.

Luxembourg-Based Operations and Amazon Web Services

Between the €2.945 billion from the Spanish subsidiaries and the €7.1 billion total revenue that Amazon claims in Spain, there lies €4.156 billion, generated through retail operations and Amazon Web Services (AWS) — the cloud computing services for businesses. This figure was not previously disclosed.

This €4.156 billion is primarily billed by the U.S. group through Amazon EU and AWS, both headquartered in Luxembourg. In Spain, these two subsidiaries have local branches, although they do not present financial accounts publicly. However, according to the company, they do contribute to the national tax revenue. This segment is the most recognized part of Amazon’s business in Spain, encompassing online retail sales to individual consumers and business services offered by AWS.

Amazon’s Dominance in Spain’s Online Retail Market

As a result, Amazon is likely the largest online retailer in Spain, though there is no definitive ranking of the sector. According to data from the Spanish National Commission on Markets and Competition (CNMC), e-commerce in Spain generated a total of €84 billion in 2023 across all activities using this sales method, including travel agencies and hotel services. In the retail sector, for example, El Corte Inglés claims to be among the top three, with 11% of its commercial revenue, or €1.358 billion, coming from online sales. Carrefour and Aliexpress are also considered major players, according to industry reports. Another major retailer, Mercadona, generates only 2% of its sales through online channels, totaling €650 million. Inditex, on the other hand, does not break down its figures by country but generates €9 billion globally.

The Logistics Business: A Major Contributor

Among Amazon’s Spanish subsidiaries that file their accounts with the Commercial Registry and collectively generate the aforementioned €2.945 billion, Amazon Spain Fulfillment stands out as the largest revenue contributor. This subsidiary manages the company’s logistics centers and is directly linked to the Luxembourg-based Amazon EU. Last year, it reported revenues of €962.8 million, marking a 1.8% increase from the previous year, though it only generated a profit of €1.7 million, an 88.5% decrease year-over-year. This company owns part of Amazon’s warehouse network and leases additional space from external property owners, such as real estate companies. For example, in the Port of Seville, Amazon rents space from the real estate company Merlin Properties.