Microsoft capped off fiscal year 2025 with a strong finish, reporting $76.4 billion in revenue for the fourth quarter—a robust 18% year-on-year increase—and net income of $27.2 billion, up 24% from the previous year. The performance was driven primarily by its Intelligent Cloud segment, which grew 26% to $29.9 billion, underscoring the accelerating enterprise shift toward Microsoft’s cloud infrastructure. Notably, Azure and other cloud services surged 39%, reaffirming their position as the company’s leading growth engines.
“Cloud and AI is the driving force of business transformation across every industry and sector,” said Satya Nadella, Chairman and CEO of Microsoft. “This year, Azure surpassed $75 billion in revenue, up 34% driven by growth across all workloads.”
Looking ahead, Microsoft is preparing for another significant investment cycle, with plans to spend a record $30 billion in Q1 FY2026. The announcement comes as the company expands its global data centre footprint, which now exceeds 400 facilities across 70 regions.
A major catalyst in Microsoft’s AI push has been Azure AI Foundry, which has already attracted 14,000 customers. The platform’s flexibility to support a wide range of AI models—from OpenAI, Meta, and DeepSeek AI, among others—has been a key differentiator. “We shipped 15 models from OpenAI alone on Foundry this year,” Nadella said, highlighting the company’s edge in scalable AI infrastructure.
Meanwhile, usage of Copilot, Microsoft’s AI-powered productivity suite, continues to accelerate. The company reported over 100 million monthly active users across its applications. “Microsoft 365 Copilot is becoming the new way to organise work,” Nadella noted.
GitHub Copilot also showed remarkable momentum, with 20 million users and a 75% quarter-over-quarter rise in enterprise adoption. AI-driven developer activity on GitHub has more than doubled, showcasing Microsoft’s expanding footprint across the global software development ecosystem.
