Microsoft's Azure Cloud Hits $101 Billion Revenue Mark
Microsoft's Azure cloud engine has reached monumental scale, reaching $101.9 billion in revenue for the fiscal year ended June 30. This is a significant reveal, as the company had previously kept some financial details buried beneath its reorganized reporting structure.
The quarterly sales figures are now visible, but investors still don't have access to crucial margin data needed to assess the profitability of Azure's AI returns. Despite this lack of transparency, Microsoft's annual results show total revenue at $331.8 billion, with $90 billion landing in the fourth quarter alone.
Azure powered roughly 30.7% of annual revenue and 32.7% of quarterly sales. However, investors will not get a perfectly clean view: Microsoft plans to house Azure inside Agents and Infra while moving some GitHub revenue into Microsoft 365 Cloud.
The shares sit at $501.73, a 13.75% drop from the GF Value of $581.70, creating a valuation gap that investors cannot ignore.