Microsoft, the global leader in software development, ended the fiscal year with quarterly revenue of $90 billion.
Microsoft, in its earnings release, cited solid cloud growth and an increase in paid AI subscribers.
Microsoft’s revenue targets jumped 18% to $90 billion in the final quarter of the fiscal year.
The results show an optimistic sign of the company’s AI revenue growth approach to aggressively invest in data centers.
According to the statement released on Wednesday (July 29), the company said its net profit was recorded at $35.77, an increase from $27.23 billion in the same quarter last year.
On the AI front, the company reported a net profit of $3.2 billion thanks to its ambitious investment in artificial intelligence lab Anthropic.
Microsoft’s gaming business, Xbox, took a non-cash charge, with revenue falling to 10% even as the company posted strong profits.
According to the earnings release, the company said its cloud revenue increased 28% from $59.3 billion, while its remaining business performance obligation increased 84% to $678 billion.
Microsoft’s cloud computing platform Azure reported quarterly revenue of $39.31 billion, up 31.6% from the previous year.
Microsoft CEO Satya Nadella said revenue from the company’s Azure cloud computing platform surpassed $100 billion for the first time in fiscal 2026, an increase of 41%.
“This year, Azure revenue surpassed $100 billion for the first time, and Microsoft 365 Copilot reached over $30 million, reflecting our confidence in powering their AI transformation,” Nadella said.
