Microsoft Cracks Open Azure Revenue, Sparking New Optimism for Stock
Microsoft has announced changes to its reporting structure, which will give investors a more detailed look at the performance of its Azure business.
The tech giant's Azure segment saw significant growth in its last quarterly earnings report, sending the stock soaring.
In an effort to provide even more transparency, Microsoft is now planning to disclose quarterly revenue from Azure as part of its regular reporting.
This change comes as the company streamlines its reporting segments from three to two, with one focused on artificial intelligence (AI) and another on devices and consumer products.
The AI-focused segment, Agents and Infra, is expected to generate revenue north of $75 billion in the first quarter of fiscal 2027, outpacing Devices and Consumer by a significant margin.