Microsoft Corporation (MSFT) Earnings
Microsoft Corporation is expected to report next earnings on July 29, 2026 (in NaN days), with a consensus EPS estimate of $4.21. MSFT has beaten EPS estimates in 11 of its last 12 reported quarters (average surprise +8.0% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 29, 2026 | $4.06 | $4.27 | +5.2% | $82.9B | +1.8% |
| Jan 28, 2026 | $3.90 | $4.14 | +6.2% | $81.3B | +1.2% |
| Oct 29, 2025 | $3.67 | $4.13 | +12.5% | $77.7B | +2.9% |
| Jul 30, 2025 | $3.37 | $3.65 | +8.3% | $76.4B | +3.4% |
| Apr 30, 2025 | $3.22 | $3.46 | +7.5% | $70.1B | +2.4% |
| Jan 29, 2025 | $3.15 | $3.23 | +2.5% | $69.6B | +1.1% |
| Oct 30, 2024 | $3.10 | $3.30 | +6.5% | $65.6B | +1.6% |
| Apr 25, 2024 | $2.82 | $2.94 | +4.3% | $61.9B | +1.6% |
| Jan 30, 2024 | $2.78 | $2.93 | +5.4% | $62.0B | +10.3% |
| Jul 25, 2023 | $2.55 | $2.69 | +5.5% | $56.2B | +1.3% |
| Jan 24, 2023 | $2.29 | $2.32 | +1.3% | $52.7B | -0.5% |
| Jul 26, 2022 | $2.29 | $2.23 | -2.6% | $51.9B | -1.0% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q3 FY2026 · April 29, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
Microsoft Cloud revenue exceeded $54 billion, up 29% y/y. AI business ARR surpassed $37 billion, up 123%. Optimizing tech stack from DC design to silicon. Microsoft 365 Copilot seat ads increased 250% y/y with over 20 million paid seats. Cosmos DB revenue up 50% y/y. 35,000 paid Fabric customers up 60% y/y. Over 15,000 customers use both Foundry and Fabric up 60% y/y. GitHub Copilot usage growing, announced usage-based pricing. Defender protections sim-shipping for AI-discovered vulnerabilities. Consumer business focusing on fundamentals with Windows, Xbox, Bing, Edge work
Guidance
Q4 outlook: Total revenue between $86.7 - $87.8 billion, growth 13-15%. Commercial bookings adjusted for OpenAI impact expected healthy growth. Microsoft Cloud gross margin ~64% y/y down. Productivity and Business Processes revenue 37-37.3 billion, growth 12-13%. Intelligent Cloud revenue 37.95-38.25 billion, growth 27-28%. More Personal Computing revenue 11.75-12.25 billion. CapEx expected over $40 billion, FY26 operating margins up ~1 point y/y
Segment performance
Productivity and Business Processes: Revenue $35 billion, grew 17% and 13% in constant currency. M365 Commercial Cloud revenue up 19% and 15% in constant currency; M365 Consumer Cloud revenue up 33% and 29% in constant currency; LinkedIn revenue up 12% and 9% in constant currency; Dynamics 365 revenue up 22% and 17% in constant currency. Intelligent Cloud: Revenue $34.7 billion, grew 30% and 28% in constant currency. Azure and other cloud services revenue up 40% and 39% in constant currency; on-premises server business revenue slightly increased and decreased 3% in constant currency. More Personal Computing: Revenue $13.2 billion, declined 1% and 3% in constant currency. Windows OEM and devices revenue down 2% and 3% in constant currency; search advertising revenue up 12% and 9% in constant currency; Xbox content and services revenue down 5% and 7% in constant currency
Analyst Q&A
Q: Broader question on demand, commercial bookings, and how demand gets paid for.
A: Amy and Satya discussed models shifting from per-seat to licensed plus consumption, impact on bookings, and importance of value creation for usage.
Q: Elaborate on CapEx guidance.
A: Amy discussed confidence in working through physical component constraints, allocation across Azure and co-pilot usage, and acceleration in second half of calendar year.
Q: AI's potential for better margins.
A: Amy talked about consumption and usage-based models, leveraging IP, first-party hardware stack, and efficiency work.
Q: CapEx and revenue growth disconnect.
A: Amy discussed Azure growth, usage plus consumption models in apps/services, and revenue growth from M365 commercial cloud and GitHub.
Q: Reflections on Copilot adoption.
A: Sasha talked about Copilot form factors, usage levels, intelligence from multiple models and context.
Q: Change in OpenAI agreement.
A: Satya and Amy discussed positive aspects of the OpenAI partnership, IP royalty-free, revenue share through 2030, and model diversity.
Q: Seat-based models and consumption.
A: Amy talked about customers wanting predictability with seat-based pricing bundling consumption, and evaluation by business outcomes