Microsoft Corp

Microsoft's FY2025 revenue rose 15% to $281.7B with net income of $101.8B and diluted EPS of $13.64, as Microsoft Cloud revenue increased 23% to $168.9B.

Revenue increased $36.6 billion or 15% with growth across each of our segments. Intelligent Cloud revenue increased driven by Azure. Productivity and Business Processes revenue increased driven by Microsoft 365 Commercial cloud. More Personal Computing revenue increased driven by Gaming and Search and news advertising.

Other income (expense), net was $(4,901) million, $(1,646) million, and $788 million for fiscal years 2025, 2024, and 2023, respectively. Other, net primarily reflects net recognized losses on equity method investments, including OpenAI. Net recognized losses on investments increased primarily due to higher impairments, offset in part by higher gains on equity investments in the current period.

Capital expenditures $64.6B (prior $44.5B) (selected cash-flow amount, not necessarily total capital investment).

“Cash from operations increased $17.6 billion to $136.2 billion for fiscal year 2025, primarily due to an increase in cash received from customers, offset in part by an increase in cash paid to suppliers and employees and cash used to pay income taxes. Cash used in financing increased $13.9 billion to $51.7 billion for fiscal year 2025, primarily due to a $9.5 billion increase in cash used for repayments of debt, net of proceeds. Cash used in investing decreased $24.4 billion to $72.6 billion for fiscal year 2025, primarily due to a $63.2 billion decrease in cash used for acquisitions of companies, net of cash acquired and divestitures, and purchases of intangible and other assets, offset in part by a $22.3 billion increase in cash used in net investment purchases, sales, and maturities, and a $20.1 billion increase in additions to property and equipment.”

— Filing statement

“During fiscal years 2025 and 2024, we repurchased 31 million shares and 32 million shares of our common stock for $13.0 billion and $12.0 billion, respectively, through our share repurchase program. All repurchases were made using cash resources. As of June 30, 2025, $57.3 billion remained of our $60 billion share repurchase program.”

— Filing statement

“During fiscal years 2025 and 2024, our Board of Directors declared dividends totaling $24.7 billion and $22.3 billion, respectively. We intend to continue returning capital to shareholders in the form of dividends, subject to declaration by our Board of Directors.”

— Filing statement

Return on equity was 29.6% (prior 32.8%) (period net income / period-end equity, not annualized); return on assets 16.5% (prior 17.2%) (period net income / period-end assets, not annualized).

The filing does not provide specific financial guidance for future periods.

Leverage: Identified debt as of 2025-06-30: reported debt balance of unestablished maturity scope of $40.2B. The concept behind this balance does not establish which maturities it covers. Total debt, net debt and debt-to-equity are therefore not stated.

Liquidity: Cash, cash equivalents, and short-term investments totaled $94.6B. We expect existing cash, cash equivalents, short-term investments, cash flows from operations, and access to capital markets to continue to be sufficient to fund our operating activities and cash commitments for investing and financing activities.

Cash flow: Cash flow — operating $136.2B, investing $-72.6B, financing $-51.7B.

Working capital: Current assets $191.1B vs. current liabilities $141.2B (current ratio 1.35x). Prior reported balance sheet as of 2024-06-30: $159.7B vs. $125.3B (1.27x).