Microsoft revenue climbed to $90 billion during the April–June quarter, helping the technology giant outperform Wall Street forecasts as cloud computing and artificial intelligence continued to drive strong business growth.
The company also reported a significant increase in Azure cloud services and Microsoft 365 Copilot subscriptions, highlighting growing demand for enterprise AI solutions.
Microsoft Revenue Beats Expectations
Microsoft reported quarterly revenue of $90 billion, representing an 18% increase compared with the same period last year.
The company earned $4.81 per share, comfortably beating analysts’ expectations of $4.24 per share on projected revenue of $87.62 billion.
The strong financial performance pushed Microsoft’s shares nearly 9% higher in after-hours trading.
Cloud Business Continues Strong Growth
Microsoft Cloud generated $59.3 billion in revenue during the quarter, growing 27% year-over-year.
Azure and related cloud services remained the company’s biggest growth engine, with revenue rising 43% compared with last year.
The continued expansion reflects increasing business demand for cloud infrastructure and AI-powered services.
AI Products Gain More Paying Customers
Chief Executive Officer Satya Nadella said Microsoft’s AI strategy continues to deliver results.
He revealed that Azure surpassed $100 billion in annual revenue for the first time, while Microsoft 365 Copilot now has more than 30 million paid users worldwide.
The company believes businesses are increasingly adopting AI tools to improve productivity and modernize operations.
Investment Strategy Remains Unchanged
Despite heavy spending on artificial intelligence, Microsoft said its long-term investment plans remain unchanged.
Chief Financial Officer Amy Hood told investors the company remains confident that current investments will generate strong future returns.
Microsoft spent $41 billion on capital expenditures during the quarter while continuing to expand AI infrastructure and cloud capacity.
Outlook Remains Positive
Microsoft’s latest earnings demonstrate that demand for cloud computing and artificial intelligence continues to strengthen.
With Azure expanding rapidly and Copilot attracting millions of paying customers, the company appears well-positioned to maintain its leadership in enterprise AI and cloud technology.
