Intelligent Cloud Services Helped Microsoft’s Revenue Grow by 22% in the Third Quarter

For the period from July 1 to September 30, according to Microsoft’s most recent earnings report, the company generated $45.3 billion in revenue. Compared to last year’s performance, this figure represents a 22% increase, and operating income increased 27% to $20.2 billion.

With $17 billion in revenue, Microsoft’s Intelligent Cloud segment topped the company’s Productivity and Business Processes segment ($15 billion). Sales of server and cloud products increased by 35%, with Azure seeing a whopping 50% growth rate. An impressive $13.3 billion was generated by Personal Computing as a whole, which includes Windows and hardware sales, gaming, and online search advertising.

Windows revenue to OEMs grew by 10%, while Surface revenue fell by 17%, continuing a pattern seen in previous earnings reports. Revenues from Microsoft Office Commercial and cloud services products increased by 18%, with Office 365 seeing a 23% increase on its own. Repurchases and dividends totaled $10.9 billion, representing an annual increase of 14% for Microsoft.