Microsoft Exceeds Q4 Revenue Estimates with Strong Azure Cloud Performance
Microsoft reported $90 billion in fiscal fourth-quarter revenue, surpassing analyst expectations of $87.72 billion. The growth was driven by a 43% increase in Azure cloud revenue and adjusted earnings per share rising to $4.74. Microsoft's Intelligent Cloud segment grew 32%, reaching $39.3 billion for the quarter. The company’s forward-looking metrics were also robust, with commercial remaining performance obligation jumping 84% year-over-year to $678 billion. CEO Satya Nadella attributed this growth to customer confidence in Microsoft's AI capabilities and services like Azure and Microsoft 365 Copilot. Despite the strong earnings report, Microsoft’s stock closed down slightly before climbing sharply after hours. The company also significantly increased capital expenditures related to its AI expansion.
Tickers: $MSFT
Topics: AI Adoption Azure Cloud Growth Microsoft Stock Performance