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Microsoft MSFT More Personal Computing — Operating Expenses

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Other financials

Income statement

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Revenue$82.9B+18.3%
Gross profit$56.1B+16.4%
Operating income$38.4B+20.0%
Net income$31.8B+23.1%
EPS (diluted)$4.27+23.4%

Balance sheet

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Cash & equivalents$32.1B+11.4%
Total debt$125.43B+19.4%
Total equity$414.37B+28.7%
Total assets$694.23B+23.4%

Cash flow

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Operating cash flow$46.7B+26.0%
CapEx$30.9B+84.4%
Free cash flow$15.8B-22.1%

Valuation

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Market cap$2.98T-20.4%
Enterprise value$3.07T-19.6%
P/E23.8×-12.9×
P/S9.4×-3.9×

Profitability

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Gross margin68.3%-0.8pp
Operating margin46.8%+1.6pp
Net margin39.3%+3.6pp
FCF margin22.9%-2.8pp

Returns & leverage

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Return on equity34%+0.4pp
Debt / equity0.3×0.0×
Current ratio1.3×-0.1×

Where this comes from

Reported directly by Microsoft in its filing.

Tagged under the XBRL concept us-gaap:OperatingExpenses.

The official record: Microsoft’s 10-Q, filed April 29, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Microsoft's more personal computing — operating expenses?
Microsoft (MSFT) reported more personal computing — operating expenses of $4.01B in Q1 2026.
How has Microsoft's more personal computing — operating expenses changed year-over-year?
Microsoft's more personal computing — operating expenses increased by 6.9% year-over-year, from $3.75B to $4.01B.
What is the long-term trend for Microsoft's more personal computing — operating expenses?
Over 2 years (2023 to 2025), Microsoft's more personal computing — operating expenses has grown at a 22.1% compound annual growth rate (CAGR), from $10.23B to $15.25B.
What does more personal computing — operating expenses mean?
This metric represents the total operating costs associated with Microsoft's More Personal Computing segment, which encompasses Windows licensing, Surface hardware, Xbox gaming, and search/news advertising. It includes research and development, sales and marketing, and general and administrative expenses required to support consumer-facing products and hardware ecosystems. These expenses reflect the investment required to maintain market share in the PC market and the ongoing transition toward gaming and advertising services.