MSFT Q3 2026 Earnings — Income Statement Breakdown
For its Q3 2026 period (ending 2026-03-31), MSFT reported revenue of $82.9B, gross profit of $56.1B (67.6% gross margin), operating income of $38.4B, and net income of $31.8B (38.3% net margin). The flow of revenue into costs and profit is visualized below.
What changed
MSFT was profitable; revenue grew 2.0% quarter over quarter.
| Comparison | Revenue | Net income | Net margin |
|---|---|---|---|
| Year over year | Not available | Not available | Not available |
| Quarter over quarter | +2.0% | −17.4% | −9.0 pp |
Consensus estimate data is not available for this report.
MSFT Q3 2026 Income Statement
| Line item | Amount (USD) | % of revenue |
|---|---|---|
| Revenue | $82.9B | 100% |
| Cost of Revenue | −$26.8B | 32.4% |
| Gross Profit | $56.1B | 67.6% |
| Research & Development | −$8.9B | 10.8% |
| Selling, General & Administrative | −$8.7B | 10.6% |
| Operating Income | $38.4B | 46.3% |
| Other Income, net | $942M | 1.1% |
| Income Tax Expense | −$7.6B | 9.1% |
| Net Income | $31.8B | 38.3% |
Source: MSFT filings on SEC EDGAR (period ended 2026-03-31). Data normalized by EarningsFyi.