Driven by surging cloud sales, Microsoft reported quarterly revenue of $49.4 billion, up 18% yoy, and net income of $16.7 billion, up 8% GAAP (up 13% non-GAAP).
“Going forward, digital technology will be the key input that powers the world’s economic output,” said Satya Nadella, chairman and chief executive officer of Microsoft. “Across the tech stack, we are expanding our opportunity and taking share as we help customers differentiate, build resilience, and do more with less.”
“Continued customer commitment to our cloud platform and strong sales execution drove better than expected commercial bookings growth of 28% and Microsoft Cloud revenue of $23.4 billion, up 32% year over year,” said Amy Hood, executive vice president and chief financial officer of Microsoft.
Business Highlights
Revenue in Productivity and Business Processes was $15.8 billion and increased 17%, with the following business highlights:
- Office Commercial products and cloud services revenue increased 12% (up 14% CC) driven by Office 365 Commercial revenue growth of 17% (up 20% CC)
- Office Consumer products and cloud services revenue increased 11% (up 12% CC) and Microsoft 365 Consumer subscribers grew to 58.4 million
- LinkedIn revenue increased 34% (up 35% CC)
- Dynamics products and cloud services revenue increased 22% (up 25% CC) driven by Dynamics 365 revenue growth of 35% (up 38% CC)
Revenue in Intelligent Cloud was $19.1 billion and increased 26%, with the following business highlights:
- Server products and cloud services revenue increased 29% (up 32% CC) driven by Azure and other cloud services revenue growth of 46% (up 49% CC)
Revenue in More Personal Computing was $14.5 billion and increased 11%, with the following business highlights:
- Windows OEM revenue increased 11%
- Windows Commercial products and cloud services revenue increased 14% (up 19% CC)
- Xbox content and services revenue increased 4% (up 6% CC)
- Search and news advertising revenue excluding traffic acquisition costs increased 23% (up 25% CC)
- Surface revenue increased 13% (up 18% CC)
https://www.microsoft.com/en-us/Investor/earnings/FY-2022-Q3/press-release-webcast