By Karim Hammam
Microsoft reported quarterly revenue of $92.3 billion and profit of $36.6 billion, surpassing Wall Street expectations, as its Azure cloud division grew 48% in the September quarter. The results came just two days after the company offered voluntary buyouts to about 60,000 employees, roughly a quarter of its global workforce.
Cloud Growth Powers Earnings Beat
Analysts had forecast revenue of around $90.6 billion and profit of $35.1 billion, according to FactSet. The Azure cloud computing unit's 48% expansion fueled the overall growth, with chief executive Satya Nadella stating the company is delivering greater capability, choice, control, and cost-efficiency across its entire stack.
Second Round of Voluntary Buyouts This Year
The buyout offer marks the second such program in 2026, following an early-retirement option for 7% of U.S. staff in April. Microsoft's global headcount stood at 223,000 at the end of June, down from 228,000 at the end of 2025, according to regulatory filings.
AI Hardware Push Expands
Earlier this month Microsoft unveiled a Surface Ultra laptop powered by Nvidia's artificial intelligence chips, priced above $2,500. The launch reflects a broader industry push to enable more AI processing on devices rather than relying solely on cloud data centers. Apple announced a similar touchscreen MacBook this week.
