Microsoft Cloud revenue was $63.9bn, with growth accelerating to 30% YoY. Azure grew 48%, and management guided 49–50% for next quarter.
However, some third-party GPU capacity will shift to H2 FY, and commercial bookings fell 12% YoY. The company is prioritizing growth in Foundry (revenue up >3x YoY) and usage-based billing for Copilot.
The bearish headline that OpenAI's ARR went from 70bn to 50bn triggered a global pullback in AI plays.
Dolphin Research offers a quick take on where expectations diverge.1) The 70bn vs 50bn gap mostly reflects definitional differences rather than a real shortfall. Many leading model vendors periodically disclose ARR, but methodology matters — gross vs net revenue, annualizing a 28-day avg x12 vs a single recent week x52, etc.
Disclosure timing matters too, e.g., whether it follows a blockbuster flagship launch or a promotion; without that context, cross-company comparisons are not apples-to-apples.
+2$Microsoft(MSFT.US) reported Q4 FY2026 results for the period ended Jun after the U.S. market close on Jul 30. In short, the AI tide has swung back in its favor, and Microsoft can finally breathe easier.
1) As the key monetization driver for its AI investment, Azure re-accelerated to +43% YoY this quarter (ex-FX the same), vs. more bullish previews at 40–42%. This topped expectations.
More importantly, cc growth guidance for next quarter is 45%, implying further acceleration at Azure. Codex has been catching up fast lately...
Below is Dolphin Research's compiled $Microsoft(MSFT.US) FY26 Q4 earnings call Trans. I. Core financial highlights recap.
1. Shareholder returns: returned $10.2 bn to shareholders this quarter via dividends and buybacks. For the full fiscal year, total shareholder returns exceeded $43.0 bn.
2. FY27 Q1 guide: total revenue of $89.85–90.95 bn (+16–17% YoY). COGS of $29.6–29.8 bn.
In Dolphin Research's earlier piece 'AMZN's AI Misfire: Can It Mount a Comeback?', we examined AWS's AI buildout from several angles.
From in-house chips and the Anthropic partnership to model performance, we saw a meaningful step-up in AMZN's end-to-end AI capabilities, with the gap vs. Alphabet clearly narrowing.Two questions still stand out for us. First, AI margins at cloud providers seem better than we had penciled in; second, they remain heavily dependent on their model partners...Below is Dolphin Research's Trans of $Microsoft(MSFT.US) FY26Q3 earnings call.
For our earnings analysis, please see 'Post‑breakup pains: When will Microsoft regain its mojo?'I. Core results recap. 1) Shareholder returns: $10.2bn was returned to shareholders this quarter via dividends and buybacks. 2) Key metrics: revenue of $82.9bn (+18% YoY; +15% cc) and GPM of 68% (down YoY, mainly due to AI infra build‑out and increased AI product usage...).$Microsoft(MSFT.US) reported FY26 Q3 (quarter ended Mar) after the US close on Apr 30. Overall, results were steady, with most headline metrics beating expectations but lacking a true standout.
1) Azure re-accelerated, but without surprises. Azure revenue grew 40% YoY; ex-FX growth was 39%, a 100bps acceleration QoQ.
The re-acceleration is a healthy sign. That said, versus AWS and GCP's stronger pickup this quarter, it was not particularly eye-catching...
Is North America's power shortage a near- to mid-term supply-demand mismatch? Or a long-term structural issue?
---Below is Dolphin Research's FY26 Q2 earnings call Trans for $Microsoft(MSFT.US). For our earnings take, see 'Seasoned Microsoft: Stepping Back to Leap Higher?'.
Key metrics recap — Overall: revenue reached $81.3 bn, up 17% YoY (+15% cc). Operating profit rose 21% YoY (+19% cc).EPS was $4.14. On an Adj. basis, EPS increased 24% YoY (+21% cc)...In U.S. after-hours on Jan 29 Beijing time, Microsoft reported FY26 Q2 results for the quarter ended Dec. Overall, total revenue, GP and OP all came in above Bloomberg consensus and ahead of prior guidance. That said, capex continued to surge while Azure growth decelerated, likely reigniting concerns about the ROI of that spend and doubts over Microsoft's lead in the AI race...