Microsoft Cloud Revenue Beats Expectations as Azure Growth Hits 43%

Microsoft reported stronger-than-expected cloud growth for its fiscal fourth quarter, with Azure and other cloud services revenue rising 43% year over year. The results point to brisk demand for the company’s cloud and AI services, even as Microsoft continues to build out infrastructure to serve that demand. Microsoft said its quarter ended June 30, 2026, with total revenue of $90.0 billion, up 18%. Microsoft Cloud revenue reached $59.3 billion, an increase of 27%. Analysts had expected Azure growth of about 40%, according to Reuters.