Generating AI analysis...
AI Earnings Analysis
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $158.95B | $135.22B | +17.55% |
Cost of Revenue | $50.02B | $41.9B | +19.39% |
Gross Profit | $108.92B | $93.32B | +16.72% |
Operating Income | $76.24B | $62.2B | +22.56% |
Net Income | $66.2B | $48.77B | +35.74% |
EPS (Basic) | $8.91 | $6.56 | +35.82% |
EPS (Diluted) | $8.87 | $6.53 | +35.83% |
R&D Expense | $16.65B | $15.46B | +7.69% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $665.3B | $533.9B | +24.61% |
Current Assets | $180.19B | $147.08B | +22.51% |
Total Liabilities | $274.43B | $231.2B | +18.70% |
Current Liabilities | $130B | $108.88B | +19.40% |
Stockholders' Equity | $390.88B | $302.69B | +29.13% |
Cash & Equivalents | $24.3B | $17.48B | +38.98% |
Long-Term Debt | $40.26B | $44.97B | -10.47% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $80.81B | $56.47B | +43.11% |
Investing Cash Flow | $-57.26B | $-29.31B | -95.35% |
Financing Cash Flow | $-29.42B | $-27.82B | -5.74% |
Share Buybacks | $13.06B | $9.09B | +43.68% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Gross Margin | 68.5% | 69.0% | -0.48% |
Operating Margin | 48.0% | 46.0% | +1.96% |
Net Margin | 41.7% | — | — |
ROE | 16.9% | — | — |
ROA | 10.0% | — | — |
Current Ratio | $1.386 | — | — |
Debt to Equity | $0.702 | — | — |
Microsoft reported strong financial performance in Q4 2025 with a 35.7% increase in net income, driven by robust revenue growth and improved operating margins.
Microsoft's revenue increased by 17.5% year-over-year, driven by strong demand across its cloud and software segments.
Source: Source: 10-Q Income Statement, p.1
The operating margin improved to 48.0%, reflecting efficient cost management and higher operational efficiency.
Source: Source: 10-Q Key Ratios, p.1
R&D expenses rose by 7.7% as Microsoft continues to invest in innovation and technology development.
Source: Source: 10-Q Income Statement, p.1
Microsoft faces potential regulatory scrutiny related to its market dominance and data privacy practices, which could impact operations.
Source: Source: General Industry Knowledge
Unlock 2 more detailed risk analysis
Upgrade to unlockMicrosoft reported a 35.7% increase in net income to $66.21B, which likely exceeded market expectations given the strong growth metrics. Source: 10-Q Income Statement, p.1
Key takeaways include a 17.5% revenue growth to $158.95B, a 35.7% increase in net income, and improved operating margins. Source: 10-Q Income Statement, p.1
Microsoft faces risks such as regulatory challenges, competitive pressures, and currency fluctuations. Source: General Industry Knowledge
Microsoft's revenue grew by 17.5% year-over-year, reaching $158.95B, driven by strong performance in cloud and software segments. Source: 10-Q Income Statement, p.1
Microsoft shows strong financial health with a 29.1% increase in stockholders' equity and a current ratio of 1.39, indicating robust liquidity. Source: 10-Q Balance Sheet, p.1
Other companies in Technology