Operating

Net Income

Microsoft Net Income decreased by 17.4% to $31.78B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 23.1%, from $25.82B to $31.78B. Over 4 years (FY 2021 to FY 2025), Net Income shows an upward trend with a 13.5% CAGR. This decline may warrant attention — for this metric, higher values are generally preferred.

Analysis

StatementCash Flow Statement
SectionOperating
CategoryProfitability
SignalHigher is better
VolatilityModerate
First reportedQ1 2013
Last reportedQ1 2026

How to read this metric

An increase signals improved profitability and potential for higher dividends or reinvestment, while a decrease may indicate rising costs or slowing sales.

Detailed definition

Net income represents the total profit of the company after all operating expenses, interest, taxes, and preferred stock...

Peer comparison

Peer companies in the consumer electronics and software sectors typically trade on multiples of this figure, though it can be impacted by one-time tax events.

Metric ID: net_income_cf

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$16.46B$20.51B$18.77B$16.73B$16.74B$17.56B$16.43B$18.30B$20.08B$22.29B$21.87B$21.94B$22.04B$24.67B$24.11B$25.82B$27.23B$27.75B$38.46B$31.78B
QoQ Change+24.6%-8.5%-10.9%+0.1%+4.9%-6.4%+11.4%+9.7%+11.0%-1.9%+0.3%+0.4%+11.9%-2.3%+7.1%+5.5%+1.9%+38.6%-17.4%
YoY Change+1.7%-14.4%-12.5%+9.4%+20.0%+27.0%+33.2%+19.9%+9.7%+10.7%+10.2%+17.7%+23.6%+12.5%+59.5%+23.1%
Range$16.43B$38.46B
CAGR+14.9%
Avg YoY Growth+15.7%
Median YoY Growth+15.1%

Frequently Asked Questions

What is Microsoft's net income?
Microsoft (MSFT) reported net income of $31.78B in Q1 2026.
How has Microsoft's net income changed year-over-year?
Microsoft's net income increased by 23.1% year-over-year, from $25.82B to $31.78B.
What is the long-term trend for Microsoft's net income?
Over 4 years (2021 to 2025), Microsoft's net income has grown at a 13.5% compound annual growth rate (CAGR), from $61.27B to $101.83B.
What does net income mean?
The company's total profit after all expenses and taxes have been paid.