Microsoft Q4 FY2026: Azure up 43%, annual Azure revenue passes $100B

Microsoft posted $90.0 billion in quarterly revenue, up 18%, with Microsoft Cloud at $59.3 billion and Azure growing 43% — its fastest quarterly pace since early 2022, carrying annual Azure revenue past $100 billion for the first time. Commercial remaining performance obligation rose 84% to $678 billion, putting AI cloud demand under contract years ahead rather than in a single strong quarter, while More Personal Computing fell 4%.

Source: microsoft.com ↗

This year, Azure revenue surpassed $100 billion for the first time, and Microsoft 365 Copilot reached over 30 million paid seats, reflecting the confidence customers are placing in us to power their AI transformation.

Satya Nadella, CEO

Why this matters

→ Azure hits $100B annual revenue for first time, signaling peak AI infrastructure demand
→ $678B commercial backlog locks in years of cloud spending ahead
→ Fastest Azure growth since early 2022 despite AI commoditization pressures

Azure hits $100B