Microsoft Fiscal Q4 Highlights
Microsoft’s commercial remaining performance obligations hit $678 billion in fiscal Q4, marking an 84% increase year-over-year. The company’s total revenue for fiscal 2026 rose 18% to $331.8 billion, while net income surged by 31% to $40.6 billion. In the same quarter, Azure and cloud services revenue grew by 43%, contributing to a total revenue increase of 18% to $90.0 billion.
Management anticipates that approximately 30% of the backlog, equating to around $200 billion, will convert into revenue within the next 12 months. The weighted average duration of the backlog is currently at 2.3 years, with a notable increase in demand beyond OpenAI contracts, ensuring strong customer commitment for future sales.
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