Summary
Microsoft's 10-K filing for the fiscal year ended June 30, 2020, highlights robust revenue growth across all segments, driven by strong performance in cloud services, particularly Azure, which saw a 56% increase. The company's mission to empower every person and organization is being realized through its strategic focus on the intelligent cloud and intelligent edge, with significant investments in AI and mixed reality. Despite facing intense competition and the ongoing impacts of the COVID-19 pandemic, Microsoft demonstrated resilience, with total revenue reaching $143 billion. The company returned significant capital to shareholders through share repurchases and dividends, underscoring its commitment to shareholder value while continuing to invest heavily in research and development to drive future innovation.
Financial Highlights
54 data points| Revenue | $143.01B |
| Cost of Revenue | $46.08B |
| Gross Profit | $96.94B |
| R&D Expenses | $19.27B |
| Operating Income | $52.96B |
| Interest Expense | $2.59B |
| Net Income | $44.28B |
| EPS (Basic) | $5.82 |
| EPS (Diluted) | $5.76 |
| Shares Outstanding (Basic) | 7.61B |
| Shares Outstanding (Diluted) | 7.68B |
Key Highlights
- 1Total revenue grew by 14% to $143.0 billion in fiscal year 2020.
- 2Intelligent Cloud segment revenue increased by 24% to $48.4 billion, with Azure revenue up 56%.
- 3Productivity and Business Processes segment revenue rose 13% to $46.4 billion, fueled by Office Commercial and LinkedIn growth.
- 4More Personal Computing segment revenue saw a 6% increase to $48.3 billion, driven by Windows and Surface.
- 5Commercial cloud revenue surged 36% to $51.7 billion.
- 6The company returned $8.9 billion to shareholders in Q4 FY2020 through share repurchases and dividends.
- 7Microsoft continued to invest in R&D, with expenses increasing 14% to $19.3 billion.