MicrosoftMSFTEarnings & Financial Report
Microsoft Corporation is an American multinational technology conglomerate headquartered in Redmond, Washington. Founded in 1975, the company became influential in the rise of personal computers through software like Windows, and has since expanded to Internet services, cloud computing, artificial intelligence, video gaming, and other fields.
Revenue
$65.6B
Gross Profit
$45.5B
Operating Profit
$30.6B
Net Profit
$24.7B
Gross Margin
69.4%
Operating Margin
46.6%
Net Margin
37.6%
YoY Growth
16.0%
EPS
$3.30
Microsoft Q1 FY2025 Financial Summary
Microsoft reported revenue of $65.6B (up 16.0% YoY) for Q1 FY2025, with a net profit of $24.7B (up 10.7% YoY) (37.6% margin). Cost of goods sold was $20.1B, operating expenses totaled $14.9B.
Key Financial Metrics
| Total Revenue | $65.6B |
|---|---|
| Net Profit | $24.7B |
| Gross Margin | 69.4% |
| Operating Margin | 46.6% |
| Report Period | Q1 FY2025 |
Revenue Breakdown
Microsoft Q1 FY2025 revenue of $65.6B breaks down across 10 segments, led by Intelligent Cloud at $26.8B (40.8% of total).
| Segment | Revenue | % of Total |
|---|---|---|
| Intelligent Cloud | $26.8B | 40.8% |
| Products | $15.3B | 23.4% |
| Gaming | $5.7B | 8.7% |
| Linked In Corporation | $4.3B | 6.6% |
| Windows And Devices | $4.1B | 6.3% |
| Search And News Advertising | $3.5B | 5.3% |
| Enterprise And Partner Services | $1.9B | 3.0% |
| Dynamics Products And Cloud Services | $1.9B | 2.9% |
| Microsoft Three Six Five Consumer Products And Cloud Services | $1.8B | 2.8% |
| Other Products And Services | $46.0M | 0.1% |
Microsoft Revenue by Segment — Quarterly Trend
Microsoft revenue by segment across the last 4 reported quarters, showing how each business line (such as Intelligent Cloud and Products) has evolved quarter over quarter.
| Segment | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 |
|---|---|---|---|---|
| Products | — | $16.5B | — | $16.5B |
| Gaming | $5.2B | $6.0B | $5.5B | $6.0B |
| Linked In Corporation | — | $5.1B | $4.7B | $5.1B |
| Windows And Devices | — | $4.5B | $4.6B | $4.5B |
Microsoft Annual Revenue by Year
Microsoft annual revenue history includes year-by-year totals (for example, 2025 revenue was $281.7B).
| Year | Annual Revenue |
|---|---|
| 2025 | $281.7B |
| 2024 | $245.1B |
Microsoft Quarterly Revenue & Net Profit History
Microsoft results over the last 8 reported quarters, including revenue, net profit and year-over-year growth.
| Quarter | Revenue | Revenue YoY | Net Profit | Net Margin |
|---|---|---|---|---|
| Q3 FY2026 | $82.9B | +18.0% | $31.8B | 38.3% |
| Q2 FY2026 | $81.3B | +16.7% | $38.5B | 47.3% |
| Q1 FY2026 | $77.7B | +18.4% | $27.7B | 35.7% |
| Q4 FY2025 | $76.4B | +18.1% | $27.2B | 35.6% |
| Q3 FY2025 | $70.1B | +13.3% | $25.8B | 36.9% |
| Q2 FY2025 | $69.6B | +12.3% | $24.1B | 34.6% |
| Q1 FY2025 | $65.6B | +16.0% | $24.7B | 37.6% |
| Q4 FY2024 | $64.7B | +15.2% | $22.0B | 34.0% |
Income Statement
| Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | |
|---|---|---|---|---|---|---|---|---|
| Revenue | $64.73B | $65.58B | $69.63B | $70.07B | $76.44B | $77.67B | $81.27B | $82.89B |
| YoY Growth | 15.2% | 16.0% | 12.3% | 13.3% | 18.1% | 18.4% | 16.7% | 18.0% |
Balance Sheet
| Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | |
|---|---|---|---|---|---|---|---|---|
| Assets | $512.16B | $523.01B | $533.90B | $562.62B | $619.00B | $636.35B | $665.30B | $694.23B |
| Liabilities | $243.69B | $235.29B | $231.20B | $240.73B | $275.52B | $273.27B | $274.43B | $279.86B |
| Equity | $268.48B | $287.72B | $302.69B | $321.89B | $343.48B | $363.08B | $390.88B | $414.37B |
Cash Flow
| Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | |
|---|---|---|---|---|---|---|---|
| Operating CF | $37.20B | $34.18B | $22.29B | $37.04B | $42.65B | $45.06B | $35.76B |