REDMOND, Wash. — Microsoft reported $92.3 billion in fiscal first-quarter revenue, up 19% from a year earlier, as Azure revenue rose 48%.
Profit rose faster than sales. Microsoft said Wednesday that operating income hit $45.9 billion in the quarter ended Sept. 30, up 21%, or 22% in constant currency.
Net income jumped 32% to $36.6 billion under standard accounting rules. Diluted earnings came to $4.92 a share, up by the same margin.
Excluding the effect of its OpenAI investments, net income rose 18% to $36.4 billion, or $4.89 a share. Both figures were up 19% in constant currency.
Microsoft Cloud revenue climbed 30% to $63.9 billion, or 31% in constant currency. Chief Financial Officer Amy Hood said growth in that business accelerated.
“We delivered a strong start to the fiscal year,” Hood said, adding that results exceeded expectations for revenue, operating income and earnings per share.
The segment that includes Azure and Microsoft 365 brought in $76.8 billion, up 25%. Its commercial remaining performance obligation, which is revenue Microsoft has under contract but has not yet booked, rose 73% to $677 billion.
Microsoft 365 commercial cloud revenue grew 17%. Without an accounting benefit that lifted last year’s quarter, growth was 18%. Each figure was a point higher in constant currency. Microsoft 365 consumer cloud revenue rose 17%, and industry solutions cloud revenue increased 10%.
Devices and Consumer revenue slipped 3% to $15.5 billion. Windows OEM and devices revenue fell 22%, and Xbox content and services revenue declined 2%, or 1% in constant currency. Search and advertising revenue, excluding traffic acquisition costs, gained 12%.
Microsoft returned $10.2 billion to shareholders through dividends and share repurchases in the quarter.
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