Microsoft reports record revenue growth as Azure cloud business accelerates to 43% growth
Microsoft reported strong fiscal fourth-quarter results, with overall revenue rising 18% to $90 billion, exceeding analyst expectations. The company's Azure cloud business saw a significant acceleration, posting 43% growth, which surpassed the 40% growth predicted by Wall Street. This growth was supported by a surge in capital expenditures, which reached $41 billion, as the company continues to investment heavily in AI infrastructure. CFO Amy Hood noted that efficiency gains are being quickly monetized. While the company's More Personal Computing segment saw a slight decline in revenue, the Productivity and Business Processes segment, including Office and LinkedIn, grew by 14.3%. Microsoft also reported a net income of $35.77 billion, with adjusted earnings of $4.74 per share, beating forecasts. The company's Azure revenue exceeded $100 billion for the first time in the 2026 fiscal year, establishing it as a major player in the market, trailing only Amazon Web Services.