$168.1 billion.
That was Microsoft’s revenue for FY21, which ended June 30, 2021, and it is a pretty staggering number! In fact, it’s about 40% bigger than the revenues of Oracle, SAP, and IBM combined!
Equally impressive was their Operating Income number of $69.9 billion but let’s dive a bit deeper and look at the numbers for Q4 FY21 (April – June 2021).
Q4 FY21
Overall for the final quarter, Microsoft saw:
- Revenue = $46.2 billion – up 21%
- Operating Income = $19.2 billion – up 42%
(As a comparison – Microsoft’s Q4 revenue was bigger than the individual total year revenue for both Oracle and SAP!)
Productivity & Business Processes
This division had revenue of $14.7 billion, an increase of 25% and within that:
- Office 365 Commercial increased 25%
- LinkedIn increased 46%
- Dynamics 365 increased 49%
Intelligent Cloud
Here Microsoft saw revenue of $17.4 billion, a 30% increase, which was mainly driven by a 51% increase in Azure revenue.
More Personal Computing
This section saw a 9% increase to $14.1 billion with Windows Commercial products rising by 20%; however – Surface revenue dropped 20%…likely impacted by the ongoing chip shortage.
Other areas
The investor calls and information can give great insights beyond simply revenue figures, some of these tidbits include:
- Another increase in long term Azure deals
- Office 365 E5 comprises 8% of the total commercial installed base
- Almost 250 million monthly active users on Teams
- Almost 80 million monthly active Teams phone users
- Over 1 billion Teams calls in a single month
- Almost 600,000 orgs using Microsoft security products – with a 70% increase in SMB
Microsoft continue to grow and Satya Nadella seems confident they will be able to keep this up going forward. It certainly feels that there is a lot of expansion space available for Microsoft across several product areas – both winning business from rivals but, probably more so, creating brand new sectors in the cloud and across business applications too.
Cloudy with a chance of Licensing 