Microsoft

Financial disclosures

Fiscal Q1 2027 (quarter ended Sept 30, 2026) — reported Oct 28, 2026 · As of Oct 28, 2026 (reported same day)

Microsoft opened its new fiscal year with a quarter that beat its own expectations across the board, reporting revenue of $92.3 billion, up 19% year over year, alongside GAAP net income of $36.6 billion (up 32%) and diluted EPS of $4.92 (up 32%). This was also the first report under Microsoft's new two-segment structure, "Agents and Infra" and "Devices and Consumer," which replaced the long-standing Intelligent Cloud / Productivity and Business Processes / More Personal Computing breakdown following a realignment announced in September 2026. Agents and Infra — which now houses Azure and the rest of Microsoft's cloud and AI infrastructure business — generated $76.8 billion in revenue (up 25%), while Devices and Consumer brought in $15.5 billion (down 3%), dragged by a 22% decline in Windows OEM/devices revenue.

Within Agents and Infra, Azure revenue grew 48% to $33.2 billion, overall Microsoft Cloud revenue rose 30% to $63.9 billion, and commercial remaining performance obligation — a forward-looking bookings metric — jumped 73% to $677 billion, signaling a deep backlog of committed cloud and AI spend. CFO Amy Hood said results "exceeded expectations across revenue, operating income, and earnings per share."

On the spending side, capex came in at $39.4 billion for the quarter, roughly double the $19.4 billion spent a year earlier, continuing the aggressive AI-infrastructure build Microsoft flagged in July when it guided to fiscal 2027 capex of roughly $175 billion. Microsoft does not give numerical guidance in its press release — that's given verbally on the earnings call — so no specific Q2 FY2027 figures are available yet.

Key figures

Source: SEC 8-K, Exhibit 99.1 (Microsoft earnings release)