Microsoft hits 10 quarters of record- breaking revenue in a row

Microsoft keeps finding new ways to make “record quarter” sound routine. On Wednesday, the company reported revenue of $92.3 billion, up 19% from the same quarter a year ago. That extends a streak: 10 straight quarters of record-breaking revenue.

The profit line was just as strong. Net income hit $36.6 billion on a GAAP basis, up 32% year over year. Microsoft said the biggest driver was Microsoft Cloud, which brought in $63.9 billion, a 30% increase. The company has also reshaped how it reports results, now splitting the business into two segments: Agents and Infra, and Devices and Consumer.

The consumer side was weaker. Devices and Consumer revenue came in at $15.5 billion, down 3%, and Windows OEM and devices revenue fell 22% from the year-ago quarter. But that softness barely dents the bigger picture, because the cloud numbers are doing the heavy lifting.

And the cloud story is not just about AI, even if AI is clearly part of it. Microsoft 365 brought in nearly $28 billion, while Azure delivered $33.2 billion. Microsoft also said it booked $10 billion in revenue from OpenAI. That’s notable because OpenAI still runs a lot of its services on Microsoft’s cloud, even as it spreads some work to AWS, Oracle, and others.

The future claims are piling up too. Microsoft said its commercial remaining performance obligation rose 73% to $677 billion, which points to a large amount of future revenue already under contract. To support that, capital expenditures topped $45.2 billion, another quarterly record. The bill for keeping up with AI demand is getting very real, even for Microsoft.