Business Segments · Operating Income

Productivity And Business Processes — Operating Income

Microsoft Productivity And Business Processes — Operating Income increased by 1.8% to $20.97B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 20.7%, from $17.38B to $20.97B. Over 4 years (FY 2021 to FY 2025), Productivity And Business Processes — Operating Income shows an upward trend with a 30.1% CAGR. This is a positive signal — higher values indicate stronger performance for this metric.

Analysis

StatementSegment
CategoryProfitability
SignalHigher is better
VolatilityStable
First reportedQ3 2015
Last reportedQ1 2026
Rolls up toOperating Income

How to read this metric

An increase indicates successful cross-selling of premium cloud subscriptions and effective cost management, while a decrease may signal rising customer acquisition costs or a shift toward lower-margin products.

Detailed definition

This metric represents the operating profit generated by Microsoft's Productivity and Business Processes segment, calcul...

Peer comparison

Similar to the operating income generated by Google Workspace at Alphabet or the subscription-based operating margins of Salesforce and Adobe.

Metric ID: msft_segment_productivity_and_business_processes_operating_income_loss

Historical Data

20 periods
 Q2 '21Q3 '21Q4 '21Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Value$6.44B$7.58B$7.69B$7.18B$7.23B$8.32B$8.18B$8.64B$9.05B$9.97B$10.28B$10.14B$10.14B$16.52B$16.89B$17.38B$18.99B$20.41B$20.60B$20.97B
QoQ Change+17.8%+1.4%-6.6%+0.7%+15.1%-1.8%+5.7%+4.8%+10.1%+3.1%-1.4%+0.0%+62.8%+2.2%+2.9%+9.3%+7.4%+0.9%+1.8%
YoY Change+12.4%+9.8%+6.3%+20.3%+25.1%+19.8%+25.8%+17.4%+12.1%+65.7%+64.2%+71.3%+87.3%+23.6%+22.0%+20.7%
Range$6.44B$20.97B
CAGR+28.2%
Avg YoY Growth+31.5%
Median YoY Growth+21.3%
Current Streak8 quarters growth

Frequently Asked Questions

What is Microsoft's productivity and business processes — operating income?
Microsoft (MSFT) reported productivity and business processes — operating income of $20.97B in Q1 2026.
How has Microsoft's productivity and business processes — operating income changed year-over-year?
Microsoft's productivity and business processes — operating income increased by 20.7% year-over-year, from $17.38B to $20.97B.
What is the long-term trend for Microsoft's productivity and business processes — operating income?
Over 4 years (2021 to 2025), Microsoft's productivity and business processes — operating income has grown at a 30.1% compound annual growth rate (CAGR), from $24.35B to $69.77B.
What does productivity and business processes — operating income mean?
The total profit Microsoft makes from its Office apps, LinkedIn, and business software after paying for the costs to run those specific businesses.