Microsoft overhauls reporting as Azure hits $33.17B, up 48%, while Windows OEM drops 22%
tomwarren · x · 2026-10-29
Microsoft posted Q1 FY2027 results: $92.3B revenue (+19% YoY) and $33.6B net income (+32%).
Key changes:
- The company restructured reporting into two segments: Agents and Infra (Azure, Microsoft 365, server products) at $76.8B — 83% of revenue, +25% YoY — and Devices and Consumer (Windows, Xbox, Surface, search/ads) at 17%.
- Azure revenue will now be disclosed quarterly: $33.17B this quarter, up 48% YoY.
- Consumer side is shrinking: Windows OEM + devices revenue fell 22%, Xbox content/services fell 2%, Xbox hardware fell 14%.
Cloud and agent businesses are now clearly the core of Microsoft's growth engine.
Related event: Microsoft Posts $92.3B Revenue as Azure Grows 48%(4 posts)→
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