Mucahithan Avcioglu
29 July 2026•Update: 29 July 2026
Microsoft reported stronger-than-expected fiscal fourth-quarter revenue on Wednesday as growth in its Azure cloud computing business accelerated, sending its shares higher in extended trading.
Revenue rose about 18% year-on-year to $90.01 billion in the quarter ended June 30, surpassing analysts’ estimates.
The US technology company posted adjusted earnings of $4.74 per share.
Net income increased to $35.77 billion, or $4.81 per share, from $27.23 billion, or $3.65 per share, in the same period last year.
Microsoft said its results included a $3.2 billion gain from its investment in artificial intelligence company Anthropic, as well as lower-than-expected costs related to its voluntary retirement program. The company also recorded an impairment charge in its Xbox gaming business.
Revenue from Azure increased 43% from a year earlier at both reported and constant exchange rates, accelerating from 40% growth in the previous quarter and exceeding analysts’ expectations.
Microsoft said annual Azure revenue surpassed $100 billion for the first time in its 2026 fiscal year.
The company also reported more than 30 million paid seats for Microsoft 365 Copilot, its artificial intelligence-powered workplace assistant.
Microsoft shares gained about 1% in after-hours trading following the results. The stock had fallen 19% since the beginning of 2026 as of Wednesday’s close, while the S&P 500 had gained around 7%.
