With expectations very high around these results, Microsoft had to deliver, and it has. The tech giant has delivered stellar results, with revenue, profits and cloud exceeding all estimates, helping to justify its high valuation.
Revenue came in at $56.52 billion, well above Wall Street estimates of $54.52 billion, while earnings of $2.99 also beat expectations of $2.65.
This strong result from Microsoft shows that its investments in artificial intelligence are paying off and are not simply based on advertising hype.
The strong revenue beat is a clear indication that Microsoft is monetizing AI, something the market has been craving, and is making its mark as the undisputed leader in the AI race.
The focus of the report was the 29% growth of the Azure cloud, showing the continued transition of companies and their confidence in the cloud.
Technology has seen the most growth this year and is leading the earnings recovery.
These results from Microsoft should go a long way toward boosting investor sentiment, considering it's been a tough few weeks for the markets.
Source: Territorioblockchain.com
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