Microsoft Earnings Report Overview
Microsoft (NASDAQ: MSFT) is set to release its earnings report for the fiscal 2026 third quarter today, after market close. Analysts anticipate earnings per share of $4.06 on revenue of approximately $81.4 billion. This follows a previous quarter where the Azure cloud division achieved a growth rate of 38%.
Key questions revolve around the impact of Microsoft’s revised partnership with OpenAI, which allows OpenAI to work with other cloud providers while Microsoft remains the primary partner until 2030. This comes as 45% of Azure’s backlog is driven by OpenAI, highlighting the importance of AI to Microsoft’s cloud revenue. Additionally, Microsoft’s digital assistant Copilot has 15 million paid seats, which is a small segment of its 450 million paid Microsoft 365 customers.
In light of a challenging year, where Microsoft’s shares are down about 10% year-to-date, investors are watching for insights into Azure’s performance and overall compute demand during this pivotal earnings call.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
