BlockBeats news, on July 30, Microsoft (MSFT.O) reported revenue of $90 billion for its fiscal year 2026 fourth quarter, a significant 17.7% year-over-year increase (compared to $76.441 billion in the same period last year), substantially exceeding the market expectation of $87.63 billion. Key highlights:
Capital expenditures for the fourth fiscal quarter reached $41 billion.
Cloud business revenue: $59.3 billion
Azure and other cloud services revenue grew 43% (excluding foreign exchange impact), exceeding market expectations.
Azure cloud revenue reached $39.3 billion, growing at a rate of 43%.
Free cash flow of $19.6 billion, a 23% year-over-year decline.
Microsoft CEO Satya Nadella said: "Azure revenue has surpassed $100 billion for the first time, and over 30 million paid seats of Microsoft 365 Copilot have been sold, reflecting customer confidence in our AI transformation capabilities."
Notably, Microsoft is the first major tech company to slightly reduce its fiscal year 2027 capital expenditures, lowering them from $190 billion to $175 billion. As of this writing, Microsoft’s stock rose 8.8% in after-hours trading, pushing its market capitalization to $2.90 trillion.