Overview
Microsoft fiscal Q1 rev grows 18% yr/yr, beating analyst expectations, per LSEG data
GAAP EPS for fiscal Q1 beats analyst expectations, reflecting robust operational performance
Company's cloud and AI services drive strong growth in fiscal Q1
Outlook
Company will provide forward-looking guidance during earnings conference call and webcast
Result Drivers
CLOUD AND AI - Microsoft attributes Q1 growth to strong demand for its cloud and AI services, as noted by CEO Satya Nadella
INVESTMENTS IN AI - Co continues to increase investments in AI to meet future opportunities, per CEO Satya Nadella
CLOUD REVENUE - Microsoft Cloud revenue rose 26%, reflecting growing customer demand for its platform, per CFO Amy Hood
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Revenue | Beat | $77.70 bln | $75.32 bln (35 Analysts) |
Q1 Adjusted EPS | $4.13 | ||
Q1 EPS | Beat | $3.72 | $3.66 (36 Analysts) |
Q1 Net Income | $27.70 bln | ||
Q1 Cloud Revenue | $49.10 bln | ||
Q1 Intelligent Cloud Revenue | $30.90 bln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 61 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for Microsoft Corp is $630.00, about 14% above its October 28 closing price of $542.07
The stock recently traded at 33 times the next 12-month earnings vs. a P/E of 33 three months ago
Press Release: ID:nPn3zvGrsa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)