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Microsoft Q4 Earnings Highlights: 14th Straight Double Beat, Cloud Revenue Up 27%

benzinga_article
Jul 29, 2026 at 08:22 PM
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Microsoft reported Q4 revenue of $90.01 billion, up 18% year-over-year, beating estimates. EPS reached $4.74, surpassing the consensus of $4.24. Cloud revenue surged 27%, with Azure exceeding $100 billion annually. The company returned $10.2 billion to shareholders via dividends and buybacks. CEO Satya Nadella highlighted strong AI adoption, noting Microsoft 365 Copilot reached over 30 million paid seats.

Microsoft Corporation (NASDAQ:MSFT) reported fourth-quarter financial results Wednesday after market close.

Here are the key highlights.

Microsoft Q4 Earnings

Microsoft reported fourth-quarter revenue of $90.01 billion, up 18% year-over-year. The revenue total beat a Street consensus estimate of $87.62 billion, according to data from Benzinga Pro.

Here’s a look at Microsoft’s revenue by reporting segment:

  • Productivity and Business Processes: $37.8 billion, +14% year-over-year
  • Intelligent Cloud: $39.3 billion, +32% year-over-year
  • More Personal Computing: $12.9 billion, -4% year-over-year

Overall cloud revenue was $59.3 billion in the quarter, up 27% year-over-year. Under Intelligent Cloud, the Azure and other cloud services revenue was up 43% year-over-year.

The company reported quarterly earnings per share of $4.74, beating a Street consensus estimate of $4.24.

In the fourth quarter, Microsoft returned $10.2 billion in dividends and buybacks to shareholders.

"This year, Azure revenue surpassed $100 billion for the first time, and Microsoft 365 Copilot reached over 30 million paid seats, reflecting the confidence customers are placing in us to power their AI transformation," Microsoft CEO Satya Nadella said.

Microsoft’s fiscal year revenue totaled $331.8 billion, up 18% year-over-year.

The company adjusted its earnings per share and financials for 2025 and 2026 to reflect past investments in OpenAI.

Read Also: Microsoft Q4 Preview: 13 Straight Double Beats, Magnificent Seven Stock Goes for Another Blowout

What’s Next for Microsoft

The company said it will provide forward guidance on its conference call, which can be watched below.

Microsoft Stock Price Action

Microsoft stock is up 1.2% to $395.06 in after-hours trading Wednesday versus a 52-week trading range of $349.20 to $555.45.

Read Also: Microsoft Short Interest Hits Highest Level Since 2015 as Bears Dig in Ahead of Earnings

Image via Shutterstock

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