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MICROSOFT CORP

CIK: 7890192 Annual ReportsLatest: 2025-07-30

10-K / July 30, 2025

Revenue:$281,720,000,000
Income:$101,830,000,000

10-K / July 30, 2024

Revenue:$245,122,000,000
Income:$88,136,000,000

10-K / July 30, 2025

Microsoft Corporation - Company Summary

Overview

  • Business Type: Technology company focused on digital technology and artificial intelligence (AI)
  • Mission: To empower every person and organization on the planet to achieve more
  • Core Focus: Developing and supporting software, services, devices, and solutions that deliver value through cloud computing, productivity, collaboration, and personal computing
  • AI Commitment: AI is transforming productivity; offerings span all layers of the tech stack with a focus on responsible deployment

Financial Highlights (Fiscal Year 2025)

  • Total Revenue: $281.72 billion (up 15% from FY 2024)
  • Gross Margin: $193.89 billion (up 13%)
  • Operating Income: $128.53 billion (up 17%)
  • Net Income: $101.83 billion (up 16%)
  • Diluted Earnings Per Share: $13.64
  • Employees: Approximately 228,000 full-time employees (125,000 in the U.S. and 103,000 internationally)

Revenue Breakdown

  • Cloud & Productivity Services:
    • Microsoft Cloud revenue increased 23% to $168.9 billion
    • Microsoft 365 Commercial revenue grew 14%
    • Microsoft 365 Consumer revenue increased 11%
  • Business & Online Services:
    • LinkedIn revenue increased 9%
    • Dynamics 365 revenue increased 15%
  • Infrastructure & Server:
    • Azure and other cloud services revenue increased 34%
    • Total Infrastructure (Server products & cloud services) grew 23%
  • Consumer & Devices:
    • Windows OEM and Devices revenue increased 3%
    • Xbox content and services revenue increased 16%
    • Hardware sales declined slightly (Devices down 1%)
  • Advertising & Search:
    • Search and news advertising revenue (excluding TAC) increased 20%
    • Search and news advertising revenue increased 13%

Segments

  1. Productivity and Business Processes
    • Revenue: $120.81 billion (13% growth)
    • Includes products/services like Microsoft 365 (commercial and consumer), LinkedIn, and Dynamics
  2. Intelligent Cloud
    • Revenue: $106.27 billion (21% growth)
    • Includes Azure, server products, and enterprise & partner services
  3. More Personal Computing
    • Revenue: $54.65 billion (7% growth)
    • Includes Windows, Devices (Surface, PC accessories), Gaming (Xbox), and Search & News advertising

Employees & Operations

  • Total Employees: ~228,000
  • Operational Footprint:
    • 15 million sq ft of facilities at headquarters in Redmond, WA
    • 97 million sq ft of owned and leased properties worldwide
    • Datacenters located across Americas, Asia Pacific, Europe, Middle East
    • Global supply chain involving third-party manufacturers

Key Initiatives & Strategic Focus

  • Leading in cloud computing, AI, security, and hybrid cloud solutions
  • Responsible AI development with security and ethical considerations
  • Significant investment in research and development, with FY 2025 R&D expenses of $32.5 billion
  • Sustainability goals: Carbon negative, water positive, zero waste by 2030
  • Focus on innovation in workplace, cloud services, gaming, and personal computing

Summary

Microsoft develops and supports a broad portfolio of software, cloud services, devices, and solutions, with a focus on AI-driven and secure technology platforms. It has a global workforce of approximately 228,000 employees, serving hundreds of millions of customers worldwide. The company reports successful growth in cloud and AI services, with total revenues of $281.72 billion in FY 2025 and a net income of $101.83 billion.