Microsoft hits 10 quarters of record- breaking revenue in a row

Whatever the aboriginal of AI mightiness be, the existent concern is inactive precise bully for Microsoft. The tech elephantine reported yet different quarterly gross grounds connected Wednesday: $92.3 billion, a 19% summation implicit the year-ago quarter.

Microsoft has present reported record-breaking gross for 10 quarters successful a row.

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This is profitable revenue, too. Microsoft reported that nett income reached $36.6 billion, an summation of 32% connected a GAAP basis, implicit the year-ago quarter.

The record-breaking income was mostly driven connected the spot of Microsoft Cloud, which reached $63.9 cardinal successful gross this quarter, an summation of 30% implicit the year-ago quarter, Microsoft said.

Microsoft has reorganized its concern reporting into 2 basal segments: 1) Agents and Infra and 2) Devices and Consumer. On the flip side, gross successful Devices and Consumer was $15.5 billion, decreased of 3%, with Windows OEM and devices gross falling 22% from the year-ago quarter.

True, not each of Microsoft’s steadfast unreality gross tin beryllium attributed to AI. Microsoft 365 accounted for astir $28 billion. But Azure brought successful the most, astatine $33.2 billion. And again, not each of that is needfully AI-related. Enterprises tally each sorts of the accepted bundle and SaaS applications connected Azure.

Still, a bully chunk of the gross was from AI, due to the fact that Microsoft besides reported $10 cardinal successful gross from OpenAI. Despite branching retired to AWS, Oracle, and others, OpenAI inactive runs a batch of its services connected Microsoft’s cloud. (Anthropic runs connected Azure arsenic well.) Microsoft besides said its “commercial remaining show work accrued 73% to $677 billion.” That represents aboriginal gross committed nether existing contracts of the AI labs.

But, similar each the large unreality providers, Microsoft is besides spending large to hole to present connected those commitments. Capital expenditures topped $45.2 billion, different all-time quarterly record.