Microsoft ( MSFT ) reported fiscal third-quarter revenue and profits that surpassed analysts’ expectations, sending shares higher in extended trading Wednesday.
The tech titan’s revenue grew 13% year-over-year to $70.07 billion, above the analyst consensus from Visible Alpha. Net income of $25.82 billion, or $3.46 per share, rose from $21.94 billion, or $2.94 per share, a year earlier, topping Wall Street’s estimates.
The gains came as revenue from Microsoft's Intelligent Cloud segment, which includes its Azure cloud computing platform, improved 21% to $26.75 billion, above expectations.
“Cloud and AI are the essential inputs for every business to expand output, reduce costs, and accelerate growth," CEO Satya Nadella said. “From AI [infrastructure] and platforms to apps, we are innovating across the stack to deliver for our customers.” Earlier this year, Microsoft said it plans to spend $80 billion on infrastructure in fiscal 2025.
Microsoft shares rose over 6% in after-hours trading. The stock was down 6% for the year so far through Wednesday’s close.
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