Retained Earnings
Microsoft Retained Earnings increased by 7.7% to $302.53B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 37.7%, from $219.76B to $302.53B. Over 4 years (FY 2021 to FY 2025), Retained Earnings shows an upward trend with a 42.9% CAGR. This is a positive signal — higher values indicate stronger performance for this metric.
Analysis
How to read this metric
Consistent growth indicates sustained profitability and the ability to self-fund growth, while a decrease may result from net losses or aggressive dividend/buyback programs.
Detailed definition
The cumulative amount of net income that has been reinvested in the business rather than distributed to shareholders as...
Peer comparison
High-growth tech companies may have lower retained earnings if they are younger, while established giants show massive cumulative balances.
retained_earningsHistorical Data
| Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $57.06B | $66.94B | $75.05B | $79.63B | $84.28B | $92.37B | $99.37B | $108.23B | $118.85B | $132.14B | $145.74B | $159.39B | $173.14B | $188.93B | $203.48B | $219.76B | $237.73B | $254.87B | $280.79B | $302.53B |
| QoQ Change | — | +17.3% | +12.1% | +6.1% | +5.8% | +9.6% | +7.6% | +8.9% | +9.8% | +11.2% | +10.3% | +9.4% | +8.6% | +9.1% | +7.7% | +8.0% | +8.2% | +7.2% | +10.2% | +7.7% |
| YoY Change | — | — | — | — | +47.7% | +38.0% | +32.4% | +35.9% | +41.0% | +43.1% | +46.7% | +47.3% | +45.7% | +43.0% | +39.6% | +37.9% | +37.3% | +34.9% | +38.0% | +37.7% |
Retained Earnings at Other Companies
Frequently Asked Questions
- What is Microsoft's retained earnings?
- Microsoft (MSFT) reported retained earnings of $302.53B in Q1 2026.
- How has Microsoft's retained earnings changed year-over-year?
- Microsoft's retained earnings increased by 37.7% year-over-year, from $219.76B to $302.53B.
- What is the long-term trend for Microsoft's retained earnings?
- Over 4 years (2021 to 2025), Microsoft's retained earnings has grown at a 42.9% compound annual growth rate (CAGR), from $57.06B to $237.73B.
- What does retained earnings mean?
- The total profits the company has kept and reinvested since it started, after paying out any dividends.