Business Segments · Operating Expenses

Productivity And Business Processes — Operating Expenses

Microsoft Productivity And Business Processes — Operating Expenses increased by 5.9% to $7.84B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 11.3%, from $7.05B to $7.84B. Over 2 years (FY 2023 to FY 2025), Productivity And Business Processes — Operating Expenses shows relatively stable performance with a 3.2% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementSegment
CategoryEfficiency
SignalLower is better
VolatilityStable
First reportedQ1 2023
Last reportedQ3 2026Apr 29, 2026

How to read this metric

An increase may signal heavy investment in AI integration or aggressive customer acquisition for LinkedIn and Dynamics, while a decrease typically suggests improved operational efficiency or cost-cutting measures.

Detailed definition

This metric represents the total operating costs incurred by Microsoft's Productivity and Business Processes segment, wh...

Peer comparison

Similar to the operating expenses associated with Salesforce's subscription services or Google Workspace within Alphabet's Google Cloud segment.

Metric ID: msft_segment_productivity_and_business_processes_operating_expenses

Historical Data

15 periods
 Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26Q3 '26
Value$6.72B$6.72B$6.72B$6.72B$6.89B$6.89B$6.89B$6.89B$6.51B$6.98B$7.05B$8.08B$6.89B$7.41B$7.84B
QoQ Change+0.0%+0.0%+0.0%+2.5%+0.0%+0.0%+0.0%-5.5%+7.3%+0.9%+14.6%-14.7%+7.5%+5.9%
YoY Change+2.5%+2.5%+2.5%+2.5%-5.5%+1.4%+2.3%+17.3%+5.9%+6.1%+11.3%
Range$6.51B$8.08B
CAGR+4.5%
Avg YoY Growth+4.4%
Median YoY Growth+2.5%
Current Streak2 quarters growth

Frequently Asked Questions

What is Microsoft's productivity and business processes — operating expenses?
Microsoft (MSFT) reported productivity and business processes — operating expenses of $7.84B in Q1 2026.
How has Microsoft's productivity and business processes — operating expenses changed year-over-year?
Microsoft's productivity and business processes — operating expenses increased by 11.3% year-over-year, from $7.05B to $7.84B.
What is the long-term trend for Microsoft's productivity and business processes — operating expenses?
Over 2 years (2023 to 2025), Microsoft's productivity and business processes — operating expenses has grown at a 3.2% compound annual growth rate (CAGR), from $26.88B to $28.62B.
What does productivity and business processes — operating expenses mean?
The total amount of money Microsoft spends on research, marketing, and administration to run its Office, LinkedIn, and Dynamics business software divisions.