Microsoft Financial Results FY21


$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.

Further Reading

Microsoft Investor Info