MSFT Q4 2025 Earnings — Income Statement Breakdown
For its Q4 2025 period (ending 2025-06-30), MSFT reported revenue of $76.4B, gross profit of $52.4B (68.6% gross margin), operating income of $34.3B, and net income of $27.2B (35.6% net margin). The flow of revenue into costs and profit is visualized below.
What changed
MSFT was profitable; revenue grew 18.1% year over year.
| Comparison | Revenue | Net income | Net margin |
|---|---|---|---|
| Year over year | +18.1% | +23.6% | +1.6 pp |
| Quarter over quarter | +9.1% | +5.5% | −1.2 pp |
Consensus estimate data is not available for this report.
MSFT Q4 2025 Income Statement
| Line item | Amount (USD) | % of revenue |
|---|---|---|
| Revenue | $76.4B | 100% |
| Cost of Revenue | −$24.0B | 31.4% |
| Gross Profit | $52.4B | 68.6% |
| Research & Development | −$8.8B | 11.6% |
| Selling, General & Administrative | −$9.3B | 12.1% |
| Operating Income | $34.3B | 44.9% |
| Other Income, net | −$1.7B | 2.2% |
| Income Tax Expense | −$5.4B | 7.0% |
| Net Income | $27.2B | 35.6% |
Source: original SEC filing (filed 2025-07-30). Accession 0000950170-25-100226. Data normalized by EarningsFyi.