Filing Flows › Microsoft (MSFT) › Q4 FY25
Microsoft (MSFT) Q4 FY25 earnings results (fourth quarter fiscal 2025)
10-K filed Jul 30, 2025
Microsoft (MSFT) reported revenue of $76.4B for the fourth quarter fiscal 2025 (Q4 FY25), +18% from a year earlier and +9% from the quarter before. Operating margin was 44.9%, net earnings $27.2B (35.6% of revenue).
Microsoft, Q4 FY25: revenue $76.4B (+18% year over year), operating margin 44.9%, net earnings $27.2B, operating cash flow $42.6B. The chart follows the revenue to costs, profit and cash.
| Q4 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $76.4B | +9% | +18% |
| Gross profit | $52.4B | +9% | +16% |
| Operating profit | $34.3B | +7% | +23% |
| Net earnings | $27.2B | +5% | +24% |
| Operating cash flow | $42.6B | +15% | +15% |
| Free cash flow | $25.6B | +26% | +10% |
What changed
Revenue was $76.4B in Q4 FY25, up 18% year over year and up 9% from the previous quarter. Server Products and Cloud Services was the largest line at 36% of revenue.
Gross margin was 68.6%, down 1.0 points from a year earlier. Operating profit was $34.3B, a 44.9% margin (up 1.8 points year over year). Of the extra revenue versus a year earlier, 55% reached operating profit, above the 43% margin then. Operating expenses grew 6% against revenue growth of 18%. Net earnings were $27.2B, up 24% year over year. The effective tax rate was 16.5%.
Operating cash flow was $42.6B (up 15% year over year), 157% of net earnings. Non-cash charges added back $7.8B of depreciation and amortization and $3.1B of share-based compensation. Working capital and other items added $4.5B. Capital expenditures of $17.1B left free cash flow of $25.6B.
Questions
What was Microsoft's revenue in the fourth quarter fiscal 2025?
Microsoft (MSFT) reported revenue of $76.4B for the fourth quarter fiscal 2025 (Q4 FY25), +18% from a year earlier and +9% from the quarter before.
Was Microsoft profitable in the fourth quarter fiscal 2025?
Operating profit was $34.3B (44.9% of revenue) and net earnings $27.2B.
Source: Microsoft 10-K on SEC EDGAR.