Highlights

  • Fiscal first-quarter Revenue advanced 19% to USD 92.3 billion, with Operating Income rising 21% to USD 45.9 billion.
  • Microsoft Cloud revenue increased 30% to USD 63.9 billion, while Azure sales expanded by 48%.
  • Commercial remaining performance obligations reached USD 677 billion, representing a 73% year-on-year increase.
  • The company returned USD 10.2 billion through dividends and share repurchases during the quarter.

Microsoft Corporation (NASDAQ:MSFT) is advancing its Business through a set of recently disclosed financial and operational developments. Microsoft generated USD 92.3 billion in revenue for the three months ended September 30, 2026, increasing 19% from the previous year. The company’s shares closed at USD 545.18 on November 9, 2026, moving +2.75% for the session and carrying an indicated Market Capitalisation of USD 4.05 trillion. The latest reporting period and planned next steps present different milestones that require separate consideration.

Cloud Expansion Leads Fiscal-Year Opening

Microsoft generated USD 92.3 billion in revenue for the three months ended September 30, 2026, increasing 19% from the previous year. Operating income reached USD 45.9 billion, up 21%. GAAP Net Income was USD 36.6 billion and Diluted Earnings per Share were USD 4.92.

The company separately reported non-GAAP net income of USD 36.4 billion and diluted earnings per share of USD 4.89, adjusting for the impact of its Investment in OpenAI. That distinction matters because the company’s GAAP and adjusted earnings growth rates differ.

Azure and Cloud Shape the Revenue Mix

Microsoft Cloud revenue totalled USD 63.9 billion, increasing 30% year-on-year. Azure revenue grew 48%. The Agents and Infra business generated USD 76.8 billion in revenue, up 25%, while Microsoft 365 commercial cloud revenue rose 17% on a reported basis.

Commercial remaining performance obligation reached USD 677 billion, representing 73% growth. This measure concerns contracted obligations that will be recognised in future periods under applicable arrangements; it should not be confused with revenue already recognised in the September quarter.

Consumer Devices Show a Different Trend

The Devices and Consumer business generated USD 15.5 billion, decreasing 3%. Search and Advertising revenue excluding traffic Acquisition costs increased 12%, while Xbox content and services revenue declined 2% and Windows OEM and Devices revenue fell 22%.

These figures illustrate the different trajectories of the company’s cloud and consumer-facing operations. Microsoft also returned USD 10.2 billion through dividends and share Buybacks during the quarter, alongside investments across its product and infrastructure portfolio.

Infrastructure Investments Remain in Focus

Microsoft continues developing cloud, AI agents and related computing infrastructure. Management described plans to expand customer choice and controls across its technology stack, and noted ongoing adoption of cloud-native processors and agent technology.

Its quarterly release did not give a numerical next-quarter forecast in the press release; Microsoft instead indicated that forward-looking guidance would be discussed during its earnings webcast. Accordingly, no next-quarter target is asserted here.