Microsoft records 27% increase in net income, revenue up 13% amid AI push

San Francisco: Amid the AI wave, Microsoft has reported $56.5 billion in revenue (up 13 percent) and a net income of $22.3 billion, an increase of 27 percent, during its first quarter of 2024 fiscal.

According to the company, the revenue in the PC vertical was $13.7 billion and increased 3 percent.

Windows revenue increased 5 percent with Windows OEM revenue growth of 4 percent, which is a surprise increase as PC sales went down this year globally.

In a statement on Tuesday, Chairman and chief executive officer of Microsoft Satya Nadella said, "With copilots, we are making the age of AI real for people and businesses everywhere".

"We are rapidly infusing AI across every layer of the tech stack and for every role and business process to drive productivity gains for our customers,” he added.

Revenue in Intelligent Cloud was $24.3 billion, an increase of 19 percent. Server products and cloud services revenue increased by 21 percent driven by Azure and other cloud services revenue growth of 29 percent.

“Consistent execution by our sales teams and partners drove a strong start to the fiscal year with Microsoft Cloud revenue of $31.8 billion, up 24 percent (up 23 percent in constant currency) year-over-year,” said Amy Hood, executive vice president and chief financial officer of Microsoft.

LinkedIn revenue increased 8 percent while devices revenue decreased 22 percent. However, Xbox content and services revenue increased 13 percent.

Microsoft returned $9.1 billion to shareholders in the form of share repurchases and dividends in the first quarter of fiscal year 2024.

With inputs from IANS

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