Microsoft posts strong cloud growth: $92.3B revenue as reporting structure changes

What happened

Microsoft announced financial results for the first quarter of its 2027 fiscal year. The company posted $92.3 billion in revenue and $33.6 billion in net income. Revenue grew 19 percent and net income 32 percent compared with the same period a year earlier.

Reporting structure changed

With the new fiscal year, Microsoft split its financial reporting into two segments for the first time. The previous segments — Productivity and Business Processes, Intelligent Cloud, and More Personal Computing — are gone.

The new structure is:

• Agents and Infra: Covers Azure and related cloud and infrastructure businesses.
• Devices and Consumer: Covers devices and consumer-facing businesses.

Why it matters

Strong cloud growth highlights how Microsoft's AI infrastructure investments are showing up in its financials. The segment change also signals that the company is putting its AI agents and infrastructure business under a distinct umbrella.