Microsoft’s $69.6B Quarter: AI Boom Drives Record-Breaking Growth!
REDMOND, WASHINGTON, 30th January 2025 – Microsoft Corp. has released its earnings report for the period ending December 31 last year; for this period, the company registered revenue of $69.6 billion, which is a 12% increase from the same time-frame last fiscal year.
The revenue for operating income also rose to $31.7 billion, a 17% increase compared to the last fiscal year net income of $24.1 billion also showed an increase of 10% year over year and reached $24.1 billion.
These gains can be partially attributed to Microsoft`s AI sector which registered an impressive annual revenue run rate of $13 billion, a year over year increase of 175%.
In Microsoft’s annual shareholders meeting, Satya Nadella, chairman and chief executive officer, stated,
“We are innovating across our tech stack and helping customers unlock the full ROI of AI to capture the massive opportunity ahead.”
According to the company’s update, there were also strong gains in its cloud services. Microsoft Cloud revenue was $40.9 billion, a 21% year-over-year increase.
“We remain committed to balancing operational discipline with continued investments in our cloud and AI infrastructure,”
Was shared by Amy Hood, executive vice president and chief financial officer of Microsoft.
Revenue captured from the Productivity and Business Processes segment rose by 14% year on year amounting to $29.4 billion. Revenue for the Intelligent Cloud segment rose by 19% to $25.5 billion. The More Personal Computing segment earned $14.7 billion in revenue.
Such results clearly demonstrate why Microsoft places a major emphasis on AI and cloud services as growth engines.
The investment initiatives are endless in order to keep up with customer expectations, and take advantage of new business opportunities.
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