Microsoft reports strong cloud growth and raises its AI infrastructure spending outlook

AI · First reported 2 Nov, 09:29 · Updated 09:37

Image: Wikimedia Commons · NASA Johnson Space Center · Public domain

Microsoft’s fiscal first-quarter revenue rose 19% to $92.3 billion, while Azure revenue grew 48% to $33.17 billion. Management forecast $96 billion to $97.1 billion in fiscal Q2 revenue and more than $50 billion in quarterly capital spending; the article argues the stock is a buy.

Microsoft reported fiscal Q1 revenue of $92.3 billion, up 19% year over year, and adjusted earnings per share of $4.89, up 18%.
Azure revenue increased 48% to $33.17 billion. The company forecast 49%–50% constant-currency Azure growth in Q2, while saying demand continued to exceed capacity.
Microsoft generated $18.6 billion in free cash flow after $45.2 billion in capital spending, and projected more than $50 billion in Q2 capex and $170 billion for the fiscal year.

Summary written by Lux AI from 2 articles

Key facts

Fiscal Q1 total revenue: $92.3 billion, up 19% year over year.
Azure Q1 revenue: $33.17 billion, up 48% year over year.
Fiscal Q1 free cash flow and capex: $18.6 billion in free cash flow after $45.2 billion in capital spending.
Fiscal Q2 revenue guidance: $96 billion to $97.1 billion.
Fiscal-year capex outlook: $170 billion.