Microsoft Corporation
TechnologyNASDAQ:MSFT · NASDAQ Global Select
-$3.45 today
Vol 23.53M · Avg 38.06M
Income Statement
Follow revenue through to earnings
Review sales, margins, expenses, and profit trends to see what is actually driving reported earnings over time.
Earnings Waterfall
Revenue to Net Income
Key Ratios
Analysis
$318.3B of revenue converted into $125.2B of net income for the selected period. Gross margin is 68.3% and net margin is 39.3%, showing how much revenue survives after costs and taxes. EPS is $16.80, tying the income statement back to per-share earnings.
Income Statement
Annual data · 5 periods
| Metric | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | FY2020 | FY2019 | FY2018 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $281.7B +14.9% | $245.1B +15.7% | $211.9B +6.9% | $198.3B +18.0% | $168.1B | $809.6M | $921.6M | $731.2M |
| Cost of Revenue | $87.8B +18.5% | $74.1B +12.5% | $65.9B +5.1% | $62.6B +19.9% | $52.2B | $725.6M | $804.0M | $882.4M |
| Gross Profit | $193.9B +13.4% | $171.0B +17.1% | $146.1B +7.7% | $135.6B +17.1% | $115.9B | $8.9B | $7.6B | $6.2B |
| Gross Margin | 68.8% -0.9pp | 69.8% +0.8pp | 68.9% +0.5pp | 68.4% -0.5pp | 68.9% | 9.8% | 28.9% | 38.3% |
| Research & Development | $32.5B +10.1% | $29.5B +8.5% | $27.2B +10.9% | $24.5B +18.3% | $20.7B | $983.2M | $1.3B | $490.4M |
| Selling, General & Admin | $32.9B +2.5% | $32.1B +5.7% | $30.3B +9.4% | $27.7B +9.9% | $25.2B | $620.6M | $923.0M | -$1.5B |
| Operating Expenses | $65.4B +6.2% | $61.6B +7.0% | $57.5B +10.1% | $52.2B +13.7% | $45.9B | $5.3B | $7.0B | $8.7B |
| Depreciation & Amortization | $34.2B +53.2% | $22.3B +60.8% | $13.9B -4.1% | $14.5B +23.7% | $11.7B | $374.2M | $1.2B | $631.8M |
| EBITDA | $160.2B +20.4% | $133.0B +26.5% | $105.1B +4.9% | $100.2B +17.7% | $85.1B | -$15.2B | $6.8B | $9.3B |
| EBITDA Margin | 56.9% +2.6pp | 54.3% +4.6pp | 49.6% -0.9pp | 50.6% -0.1pp | 50.6% | 5.6% | 46.3% | 42.0% |
| Operating Income | $128.5B +17.4% | $109.4B +23.6% | $88.5B +6.2% | $83.4B +19.3% | $69.9B | $12.3B | $14.0B | -$15.7B |
| Operating Margin | 45.6% +1.0pp | 44.6% +2.9pp | 41.8% -0.3pp | 42.1% +0.5pp | 41.6% | 16.6% | 24.1% | 22.0% |
| Interest Income | $2.6B -16.2% | $3.2B +5.4% | $3.0B +43.0% | $2.1B -1.7% | $2.1B | -$1.5B | -$1.6B | $405.0M |
| Interest Expense | $2.4B -18.7% | $2.9B +49.1% | $2.0B -4.6% | $2.1B -12.1% | $2.3B | $1.1B | $1.0B | $1.2B |
| Other Income / Expenses | -$4.9B -197.8% | -$1.6B -308.9% | $788.0M +136.6% | $333.0M -71.9% | $1.2B | -$1.5B | $1.4B | $1.2B |
| Income Before Tax | $123.6B +14.7% | $107.8B +20.7% | $89.3B +6.7% | $83.7B +17.7% | $71.1B | $3.3B | $4.9B | $3.6B |
| Pre-Tax Margin | 43.9% -0.1pp | 44.0% +1.8pp | 42.1% -0.1pp | 42.2% -0.1pp | 42.3% | 20.8% | 18.7% | 26.2% |
| Income Tax Expense | $21.8B +10.9% | $19.7B +15.9% | $16.9B +54.4% | $11.0B +11.7% | $9.8B | $1.3B | -$1.6B | $745.2M |
| Net Income | $101.8B +15.5% | $88.1B +21.8% | $72.4B -0.5% | $72.7B +18.7% | $61.3B | $4.9B | $4.8B | $4.7B |
| Net Margin | 36.1% +0.2pp | 36.0% +1.8pp | 34.1% -2.5pp | 36.7% +0.2pp | 36.5% | 12.4% | 17.5% | 22.5% |
| EPS (Basic) | $14 +15.5% | $12 +22.0% | $10 +0.2% | $10 +19.5% | $8 | $400.8M | $703.2M | $1.3B |
| EPS (Diluted) | $14 +15.6% | $12 +21.9% | $10 +0.3% | $10 +19.9% | $8 | $766.2M | $609.4M | $452.6M |
| Weighted Avg Shares | $7.4B +0.0% | $7.4B -0.2% | $7.4B -0.7% | $7.5B -0.7% | $7.5B | $757.8M | $925.8M | $1.1B |
| Weighted Avg Shares (Diluted) | $7.5B -0.1% | $7.5B -0.0% | $7.5B -0.9% | $7.5B -0.9% | $7.6B | $1.2B | $924.4M | $678.0M |
Older periods hidden.
Sign in to unlockCompetitors
Peer companies in the same sector
SEC Filings
Recent regulatory filings
No filings found.
How much revenue does MSFT generate?
Microsoft Corporation (MSFT) reported $281.72B of revenue in fiscal 2025.
Is MSFT profitable?
Microsoft Corporation (MSFT) reported $101.83B of net income, with a net margin of 36.1%.
Explore More
Continue the stock analysis
Jump to another research area for this company.