Microsoft Corporation: Beat — EPS $4.89, Revenue $92.28B
Earnings BeatQ1 2027 · After-market
Did Microsoft Corporation (MSFT) beat earnings today?
Yes, Microsoft Corporation (MSFT) beat Wall Street analyst expectations for Q1 2027, reporting higher-than-expected EPS and higher-than-expected revenue.
Earnings Per Share+3.60% surprise
$4.89Actual
Expected: $4.72
vs. year ago +18.0%
Total Revenue+1.70% surprise
$92.28BActual
Expected: $90.74B
vs. year ago +19.0%
Released Oct 28 · 4:07 PM ET
Earning Report
| Metric | Q1 FY27 | Q1 FY26 | YoY Change % |
|---|---|---|---|
| Revenue | $92.28B | $77.67B | 19.0 |
| Revenue detail — reported lines | |||
| └─Product | $14.63B | $15.92B | -8.1 |
| └─Service and other | $77.65B | $61.75B | 25.7 |
| └─Agents and Infra | $76.80B | $61.67B | 25.0 |
| └─Devices and Consumer | $15.48B | $16.00B | -3.0 |
| └─Azure | $33.16B | $22.38B | 48.2 |
| └─Microsoft 365 cloud | $27.78B | $23.69B | 17.2 |
| └─Productivity and server licensing | $8.41B | $8.68B | -3.1 |
| └─Search and advertising | $6.55B | $5.94B | 10.3 |
| └─XBOX | $5.38B | $5.51B | -2.3 |
| └─Industry solutions | $5.34B | $4.89B | 9.1 |
| └─Windows OEM and devices | $3.55B | $4.55B | -22.0 |
| └─Frontier and support services | $2.11B | $2.02B | 4.3 |
| Net income | $36.63B | $27.75B | 32.0 |
| GAAP Basic EPS | $4.93 | $3.73 | 32.2 |
| GAAP Diluted EPS | $4.92 | $3.72 | 32.0 |
| Non-GAAP Diluted EPS | $4.89 | $4.13 | 18.0 |
Business Highlights
- ➤Returned $10.2 billion to shareholders through dividends and share repurchases.
- ➤Commercial remaining performance obligation reached $677 billion.
- ➤Microsoft delivers hundreds of product, service, and enhancement releases each quarter.
- ➤Innovation updates are shared through Azure, Microsoft 365, and Official Microsoft blogs.
- ➤Microsoft develops AI-powered platforms and tools for evolving customer needs.
- ➤Company emphasizes making AI broadly available and doing so responsibly.
Management Commentary
Satya Nadella, chairman and chief executive officer
“We are delivering greater capability, choice, control, and cost efficiency for customers across our entire stack. By helping organizations build and own their own intelligence, and earning trust through agent safety and security, we are translating our innovation into growing adoption and real-world impact across every industry.”
Amy Hood, executive vice president and chief financial officer
“We delivered a strong start to the fiscal year with Microsoft Cloud revenue of $63.9 billion, with growth accelerating to 30% (up 31% in constant currency) year-over-year. Results exceeded expectations across revenue, operating income, and earnings per share.”