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

What happened

Microsoft reported quarterly revenue of $92.3 billion, up 19% from a year earlier, marking its 10th consecutive record quarter. Net income rose 32% on a GAAP basis to $36.6 billion, while Microsoft Cloud revenue increased 30% to $63.9 billion, including $10 billion in revenue from OpenAI. Commercial remaining performance obligations rose 73% to $677 billion, while capital expenditures reached a quarterly record of $45.2 billion.

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The story so far

Microsoft reported $10 billion in revenue from commercial arrangements with OpenAI for the quarter ended September 30, 2026, accounting for nearly 11% of its $92.3 billion in total revenue. It also reported Azure quarterly revenue in dollars for the first time: $33.2 billion, up 48% from a year earlier and roughly 36% of total sales. Microsoft’s regulatory filing said the OpenAI arrangements included revenue-sharing payments. TechCrunch reported that the split between those payments and Azure services was unclear. The filing separately listed $7.2 billion in outstanding receivables from OpenAI—money owed for previous transactions, rather than additional revenue on top of the $10 billion. Microsoft’s total revenue rose 19% from a year earlier, marking its 10th consecutive record quarter. Microsoft Cloud revenue increased 30% to $63.9 billion, while capital expenditures reached a quarterly record of $45.2 billion.