$90.0B of Q4 revenue and 43% Azure growth drove Microsoft $MSFT shares about 8%-9% higher after the July 29 report. Microsoft’s FY26 Q4 earnings release said revenue rose 18%, operating income rose 18%, and GAAP diluted EPS rose 32% to $4.81.

The cloud numbers explain the market reaction. Microsoft Cloud revenue was $59.3B, up 27%, and commercial remaining performance obligation increased 84% to $678B. Azure and other cloud services revenue rose 43%, while the company said Azure revenue surpassed $100B for the first time during fiscal 2026.

Metric	Q4 FY26	Change
Revenue	$90.0B	+18%
Operating income	$40.6B	+18%
GAAP EPS	$4.81	+32%
Azure and cloud services	Not disclosed as dollars	+43%

The report also included a $3.2B gain from Microsoft’s Anthropic investment and lower-than-expected voluntary retirement expenses, partly offset by severance and Xbox impairment charges. Management said adjusted results exceeded expectations across revenue, operating income and diluted EPS after those items.

The finance question is whether Microsoft can keep AI infrastructure spending tied to contracted revenue. A $678B remaining-performance-obligation figure gives investors a backlog anchor while the company continues heavy data-center investment. The next checkpoint is management’s earnings-call guidance for capital expenditures and cloud gross margin, because those two lines determine whether the Azure acceleration converts into durable free cash flow.

Not investment advice. Verify all figures with primary sources before acting.

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Microsoft $MSFT jumps 8% as Q4 revenue hits $90.0B, Azure +43%