Microsoft reports record $92.3 billion quarterly revenue for 10th straight quarter

Microsoft reported another quarterly revenue record on Wednesday, with revenue of $92.3 billion, a 19% increase over the year-ago quarter. The company has now reported record-breaking revenue for 10 quarters in a row. Net income reached $36.6 billion, an increase of 32% on a GAAP basis over the year-ago quarter.

Cloud revenue leads growth

Microsoft Cloud reached $63.9 billion in revenue this quarter, an increase of 30% over the year-ago quarter. Microsoft 365 accounted for nearly $28 billion, while Azure brought in $33.2 billion. Microsoft also reported $10 billion in revenue from OpenAI, and OpenAI still runs a lot of its services on Microsoft's cloud despite branching out to AWS, Oracle, and others. Anthropic runs on Azure as well.

Devices and Consumer segment declines

Microsoft has reorganized its business reporting into two basic segments: Agents and Infra, and Devices and Consumer. Revenue in Devices and Consumer was $15.5 billion, a decrease of 3%, with Windows OEM and devices revenue falling 22% from the year-ago quarter.

Future commitments and spending

Microsoft said its commercial remaining performance obligation increased 73% to $677 billion, representing future revenue committed under existing contracts of the AI labs. Capital expenditures topped $45.2 billion, another all-time quarterly record.

Sources: TechCrunch