Microsoft shares rose 4% in pre-market trading after exceeding analyst predictions for the first quarter of fiscal year 2027, with total revenue climbing 19% to $92.3 billion. Azure revenue surged 48% to $33.2 billion due to robust AI demand, while overall cloud revenue reached $63.9 billion. Despite the growth, CFO Amy Hood noted that AI chip supply delays will push capacity availability to the first half of 2027. The company also announced workforce adjustments to sharpen its AI focus and expects annual capital expenditures to reach up to $195 billion to support infrastructure expansion.
Microsoft posted quarterly revenue of $92.3 billion, while commercial remaining performance obligations rose to $677 billion as its investments continued to expand.
Read the full storyThe company’s revenue grew 19% year over year in the first quarter, while Azure revenue topped analyst estimates and commercial remaining performance obligations reached $677 billion.