MSFT Q1 2025 Earnings — Income Statement Breakdown

For its Q1 2025 period (ending 2024-09-30), MSFT reported revenue of $65.6B, gross profit of $45.5B (69.4% gross margin), operating income of $30.6B, and net income of $24.7B (37.6% net margin). The flow of revenue into costs and profit is visualized below.

What changed

MSFT was profitable; revenue grew 16.0% year over year.

ComparisonRevenueNet incomeNet margin
Year over year+16.0%+10.7%−1.8 pp
Quarter over quarter+1.3%+11.9%+3.6 pp

Consensus estimate data is not available for this report.

MSFT Q1 2025 Income Statement

MSFT Q1 2025 income statement. Figures in USD.
Line itemAmount (USD)% of revenue
Revenue$65.6B100%
Cost of Revenue−$20.1B30.6%
Gross Profit$45.5B69.4%
Research & Development−$7.5B11.5%
Selling, General & Administrative−$7.4B11.3%
Operating Income$30.6B46.6%
Other Income, net−$283M0.4%
Income Tax Expense−$5.6B8.5%
Net Income$24.7B37.6%

Source: original SEC filing (filed 2024-10-30). Accession 0000950170-24-118955. Data normalized by EarningsFyi.