NASDAQ : MSFT
Microsoft Corporation — Financial statements
Technology · Software - Infrastructure · United States
Last price 521.91 USD (Oct 30, 2026, 4:00 PM EDT) · Market cap 3.88T
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Financial statements
Microsoft Corporation (MSFT) reported revenue of 346.44B USD (TTM). Five years of income statement, balance sheet, cash flow and ratios below.
Income statement
Fiscal year July - June; amounts in USD.
| TTM | FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|---|
| Revenue | 346.44B | 331.84B | 281.72B | 245.12B | 211.91B | 198.27B |
| Cost of Revenue | 112.05B | 106.37B | 87.83B | 74.11B | 65.86B | 62.65B |
| Gross Profit | 234.39B | 225.47B | 193.89B | 171.01B | 146.05B | 135.62B |
| Selling, General & Admin | 34.74B | 34.67B | 32.88B | 32.06B | 30.33B | 27.73B |
| Research & Development | 36.46B | 35.56B | 32.49B | 29.51B | 27.20B | 24.51B |
| Operating Expenses | 71.20B | 70.23B | 65.36B | 61.58B | 57.53B | 52.24B |
| Operating Income | 163.19B | 155.24B | 128.53B | 109.43B | 88.52B | 83.38B |
| Interest Expense | -3.25B | -3.08B | -2.42B | -2.98B | -2.00B | -2.05B |
| Interest & Investment Income | 3.07B | 3.30B | 2.65B | 3.16B | 2.99B | 2.09B |
| Earnings From Equity Investments | 9.93B | 4.72B | -4.72B | -1.32B | -32.00M | |
| Currency Exchange Gain (Loss) | -136.00M | 2.00M | -664.00M | 75.00M | 108.00M | 232.00M |
| Other Non Operating Income (Expenses) | -1.99B | -496.00M | 881.00M | -281.00M | 64.00M | -388.00M |
| EBT Excluding Unusual Items | 170.81B | 159.69B | 124.24B | 108.08B | 89.69B | 83.24B |
| Gain (Loss) on Sale of Investments | 6.78B | 6.25B | -615.00M | -295.00M | -383.00M | 474.00M |
| Pretax Income | 177.59B | 165.93B | 123.63B | 107.79B | 89.31B | 83.72B |
| Income Tax Expense | 34.95B | 32.19B | 21.80B | 19.65B | 16.95B | 10.98B |
| Net Income | 142.63B | 133.75B | 101.83B | 88.14B | 72.36B | 72.74B |
| Net Income to Common | 142.63B | 133.75B | 101.83B | 88.14B | 72.36B | 72.74B |
| Shares Outstanding (Basic) | 7.43B | 7.43B | 7.43B | 7.43B | 7.45B | 7.50B |
| Shares Outstanding (Diluted) | 7.45B | 7.45B | 7.46B | 7.47B | 7.47B | 7.54B |
| EPS (Basic) | 19.20 | 18.00 | 13.70 | 11.86 | 9.72 | 9.70 |
| EPS (Diluted) | 19.15 | 17.95 | 13.64 | 11.80 | 9.68 | 9.65 |
| Free Cash Flow | 59.96B | 66.99B | 71.61B | 74.07B | 59.48B | 65.15B |
| Free Cash Flow Per Share | 8.05 | 8.99 | 9.59 | 9.92 | 7.96 | 8.64 |
| Dividend Per Share | 3.71 | 3.64 | 3.32 | 3.00 | 2.72 | 2.48 |
| Gross Margin | 67.66% | 67.94% | 68.82% | 69.76% | 68.92% | 68.40% |
| Operating Margin | 47.10% | 46.78% | 45.62% | 44.64% | 41.77% | 42.05% |
| Profit Margin | 41.17% | 40.30% | 36.15% | 35.96% | 34.15% | 36.69% |
| Free Cash Flow Margin | 17.31% | 20.19% | 25.42% | 30.22% | 28.07% | 32.86% |
| EBITDA | 205.69B | 194.24B | 156.53B | 129.43B | 102.02B | 97.98B |
| EBITDA Margin | 59.37% | 58.53% | 55.56% | 52.80% | 48.14% | 49.42% |
| D&A For EBITDA | 42.50B | 39.00B | 28.00B | 20.00B | 13.50B | 14.60B |
| EBIT | 163.19B | 155.24B | 128.53B | 109.43B | 88.52B | 83.38B |
| EBIT Margin | 47.10% | 46.78% | 45.62% | 44.64% | 41.77% | 42.05% |
| Effective Tax Rate | 19.68% | 19.40% | 17.63% | 18.23% | 18.98% | 13.11% |
| Revenue as Reported | 346.44B | 331.84B | 281.72B | 245.12B | 211.91B | 198.27B |
| Advertising Expenses | 2.70B | 2.10B | 1.70B | 904.00M | 1.50B |
Balance sheet
Fiscal year July - June; amounts in USD.
| TTM | FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|---|
| Cash & Equivalents | 20.28B | 20.93B | 30.24B | 18.32B | 34.70B | 13.93B |
| Short-Term Investments | 44.23B | 55.91B | 64.32B | 57.23B | 76.55B | 90.82B |
| Cash & Short-Term Investments | 64.51B | 76.84B | 94.56B | 75.54B | 111.26B | 104.75B |
| Accounts Receivable | 62.08B | 80.88B | 69.91B | 56.92B | 48.69B | 44.26B |
| Other Receivables | 35.70B | 27.80B | 8.20B | 10.50B | 9.20B | 6.10B |
| Receivables | 97.78B | 108.68B | 78.11B | 67.42B | 57.89B | 50.36B |
| Inventory | 1.83B | 1.40B | 938.00M | 1.25B | 2.50B | 3.74B |
| Other Current Assets | 22.01B | 20.79B | 17.52B | 15.52B | 12.61B | 10.83B |
| Total Current Assets | 186.14B | 207.71B | 191.13B | 159.73B | 184.26B | 169.68B |
| Property, Plant & Equipment | 377.02B | 337.25B | 229.79B | 154.55B | 109.99B | 87.55B |
| Long-Term Investments | 29.21B | 28.85B | 15.13B | 14.60B | 9.88B | 6.89B |
| Goodwill | 119.65B | 119.65B | 119.51B | 119.22B | 67.89B | 67.52B |
| Other Intangible Assets | 17.75B | 18.61B | 22.60B | 27.60B | 9.37B | 11.30B |
| Long-Term Accounts Receivable | 5.60B | 5.50B | 5.20B | 4.90B | 4.50B | 3.80B |
| Long-Term Deferred Tax Assets | 15.11B | 29.11B | 22.27B | 20.16B | 13.52B | |
| Other Long-Term Assets | 44.04B | 25.69B | 6.53B | 9.29B | 5.94B | 4.58B |
| Total Assets | 779.40B | 758.38B | 619.00B | 512.16B | 411.98B | 364.84B |
| Accounts Payable | 42.62B | 42.42B | 27.72B | 22.00B | 18.09B | 19.00B |
| Accrued Expenses | 10.16B | 14.95B | 13.71B | 12.56B | 11.01B | 10.66B |
| Short-Term Debt | 6.69B | |||||
| Current Portion of Long-Term Debt | 4.39B | 9.23B | 3.00B | 2.25B | 5.25B | 2.75B |
| Current Portion of Leases | 10.76B | 9.68B | 8.60B | 5.93B | 3.61B | 3.29B |
| Current Income Taxes Payable | 1.45B | 2.53B | 7.21B | 5.02B | 4.15B | 4.07B |
| Current Unearned Revenue | 66.87B | 72.97B | 64.56B | 57.58B | 50.90B | 45.54B |
| Other Current Liabilities | 15.72B | 17.05B | 16.42B | 13.26B | 11.14B | 9.78B |
| Total Current Liabilities | 151.97B | 168.82B | 141.22B | 125.29B | 104.15B | 95.08B |
| Long-Term Debt | 31.09B | 31.07B | 40.15B | 42.69B | 41.99B | 47.03B |
| Long-Term Leases | 87.69B | 78.84B | 60.44B | 40.29B | 28.60B | 25.33B |
| Long-Term Unearned Revenue | 2.70B | 2.75B | 2.71B | 2.60B | 2.91B | 2.87B |
| Long-Term Deferred Tax Liabilities | 3.17B | 3.05B | 2.83B | 2.62B | 433.00M | 230.00M |
| Other Long-Term Liabilities | 32.28B | 31.46B | 28.17B | 30.20B | 27.67B | 27.75B |
| Total Liabilities | 308.89B | 315.99B | 275.52B | 243.69B | 205.75B | 198.30B |
| Common Stock | 119.57B | 117.41B | 109.09B | 100.92B | 93.72B | 86.94B |
| Retained Earnings | 354.80B | 328.26B | 237.73B | 173.14B | 118.85B | 84.28B |
| Comprehensive Income & Other | -3.86B | -3.28B | -3.35B | -5.59B | -6.34B | -4.68B |
| Shareholders' Equity | 470.51B | 442.39B | 343.48B | 268.48B | 206.22B | 166.54B |
| Total Liabilities & Equity | 779.40B | 758.38B | 619.00B | 512.16B | 411.98B | 364.84B |
| Total Debt | 133.93B | 128.81B | 112.18B | 97.85B | 79.44B | 78.40B |
| Net Cash (Debt) | -69.42B | -51.97B | -17.62B | -22.31B | 31.82B | 26.35B |
| Net Cash Per Share | -9.32 | -6.97 | -2.36 | -2.99 | 4.26 | 3.49 |
| Filing Date Shares Outstanding | 7.43B | 7.43B | 7.43B | 7.43B | 7.43B | 7.46B |
| Total Common Shares Outstanding | 7.43B | 7.43B | 7.43B | 7.43B | 7.43B | 7.46B |
| Working Capital | 34.17B | 38.88B | 49.91B | 34.45B | 80.11B | 74.60B |
| Book Value Per Share | 63.35 | 59.56 | 46.20 | 36.11 | 27.75 | 22.31 |
| Tangible Book Value | 333.11B | 304.13B | 201.37B | 121.66B | 128.97B | 87.72B |
| Tangible Book Value Per Share | 44.85 | 40.95 | 27.09 | 16.37 | 17.35 | 11.75 |
| Land | 10.66B | 10.55B | 9.34B | 8.16B | 5.68B | 4.73B |
| Buildings | 194.62B | 182.75B | 137.92B | 93.94B | 68.47B | 55.01B |
| Machinery | 251.12B | 222.12B | 139.24B | 100.31B | 81.21B | 66.49B |
| Leasehold Improvements | 17.65B | 16.35B | 12.12B | 9.59B | 8.54B | 7.82B |
Cash flow statement
Fiscal year July - June; amounts in USD.
| TTM | FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|---|
| Net Income | 142.63B | 133.75B | 101.83B | 88.14B | 72.36B | 72.74B |
| Depreciation & Amortization | 42.50B | 39.00B | 28.00B | 20.00B | 13.50B | 14.60B |
| Loss (Gain) From Sale of Investments | -15.19B | -11.05B | 5.33B | 1.63B | 196.00M | -409.00M |
| Stock-Based Compensation | 12.56B | 12.40B | 11.97B | 10.73B | 9.61B | 7.50B |
| Other Operating Activities | 15.94B | 13.72B | -5.62B | -3.78B | -5.70B | -5.84B |
| Change in Accounts Receivable | -12.12B | -12.74B | -10.58B | -7.19B | -4.09B | -6.83B |
| Change in Inventory | -705.00M | -461.00M | 309.00M | 1.28B | 1.24B | -1.12B |
| Change in Accounts Payable | 6.41B | 5.27B | 569.00M | 3.54B | -2.72B | 2.94B |
| Change in Unearned Revenue | 8.84B | 9.36B | 5.44B | 5.35B | 5.54B | 5.11B |
| Change in Income Taxes | 513.00M | -1.88B | -38.00M | 1.69B | -358.00M | 696.00M |
| Change in Other Net Operating Assets | -5.49B | -4.45B | -1.05B | -2.85B | -2.00B | -345.00M |
| Operating Cash Flow | 195.88B | 182.94B | 136.16B | 118.55B | 87.58B | 89.03B |
| Capital Expenditures | -135.92B | -115.95B | -64.55B | -44.48B | -28.11B | -23.89B |
| Cash Acquisitions | -1.56B | -1.74B | -5.98B | -69.13B | -1.67B | -22.04B |
| Investment in Securities | 17.18B | -1.95B | -4.39B | 17.94B | 10.21B | 18.44B |
| Other Investing Activities | -26.60B | -19.86B | 2.32B | -1.30B | -3.12B | -2.83B |
| Investing Cash Flow | -146.91B | -139.50B | -72.60B | -96.97B | -22.68B | -30.31B |
| Short-Term Debt Issued | 5.25B | |||||
| Long-Term Debt Issued | 24.39B | |||||
| Total Debt Issued | 29.64B | |||||
| Short-Term Debt Repaid | -5.75B | |||||
| Long-Term Debt Repaid | -3.00B | -3.22B | -29.07B | -2.75B | -9.02B | |
| Total Debt Repaid | -7.85B | -3.00B | -8.96B | -29.07B | -2.75B | -9.02B |
| Net Debt Issued (Repaid) | -7.85B | -3.00B | -8.96B | 575.00M | -2.75B | -9.02B |
| Issuance of Common Stock | 1.92B | 2.01B | 2.06B | 2.00B | 1.87B | 1.84B |
| Repurchase of Common Stock | -21.00B | -22.27B | -18.42B | -17.25B | -22.25B | -32.70B |
| Common Dividends Paid | -27.03B | -26.45B | -24.08B | -21.77B | -19.80B | -18.14B |
| Other Financing Activities | -3.42B | -2.84B | -2.29B | -1.31B | -1.01B | -863.00M |
| Financing Cash Flow | -57.39B | -52.55B | -51.70B | -37.76B | -43.94B | -58.88B |
| Foreign Exchange Rate Adjustments | -153.00M | -196.00M | 63.00M | -210.00M | -194.00M | -141.00M |
| Net Cash Flow | -8.57B | -9.31B | 11.93B | -16.39B | 20.77B | -293.00M |
| Free Cash Flow | 59.96B | 66.99B | 71.61B | 74.07B | 59.48B | 65.15B |
| Free Cash Flow Margin | 17.31% | 20.19% | 25.42% | 30.22% | 28.07% | 32.86% |
| Free Cash Flow Per Share | 8.05 | 8.99 | 9.59 | 9.92 | 7.96 | 8.64 |
| Levered Free Cash Flow | 2.99B | 16.55B | 61.07B | 56.72B | 47.27B | 49.48B |
| Unlevered Free Cash Flow | 5.03B | 18.47B | 62.59B | 58.58B | 48.52B | 50.76B |
| Cash Interest Paid | 1.50B | 1.50B | 1.60B | 1.70B | 1.70B | 1.90B |
| Cash Income Tax Paid | 21.19B | 21.19B | 28.70B | 23.40B | 23.10B | 16.00B |
| Change in Working Capital | -2.56B | -4.89B | -5.35B | 1.82B | -2.39B | 446.00M |
Ratios
Fiscal year July - June; amounts in USD.
| TTM | FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|---|
| Market Capitalization | 3.82T | 2.77T | 3.70T | 3.32T | 2.53T | 1.92T |
| Enterprise Value | 3.89T | 2.82T | 3.72T | 3.35T | 2.51T | 1.89T |
| Last Close Price | 521.91 | 372.32 | 492.54 | 439.21 | 332.04 | 248.02 |
| PE Ratio | 26.87 | 20.72 | 36.30 | 37.69 | 34.99 | 26.41 |
| Forward PE | 24.95 | 20.14 | 34.50 | 35.35 | 32.37 | 25.33 |
| PS Ratio | 11.26 | 8.35 | 13.12 | 13.55 | 11.95 | 9.69 |
| PB Ratio | 8.24 | 6.26 | 10.76 | 12.37 | 12.28 | 11.53 |
| P/TBV Ratio | 11.72 | 9.11 | 18.36 | 27.30 | 19.63 | 21.90 |
| P/FCF Ratio | 65.09 | 41.37 | 51.63 | 44.85 | 42.57 | 29.48 |
| P/OCF Ratio | 19.92 | 15.15 | 27.15 | 28.02 | 28.91 | 21.57 |
| PEG Ratio | 1.59 | 1.25 | 3.04 | 2.58 | 2.71 | 1.59 |
| EV/Sales Ratio | 11.47 | 8.49 | 13.21 | 13.66 | 11.83 | 9.55 |
| EV/EBITDA Ratio | 19.31 | 14.51 | 23.78 | 25.87 | 24.57 | 19.33 |
| EV/EBIT Ratio | 24.34 | 18.15 | 28.96 | 30.59 | 28.32 | 22.72 |
| EV/FCF Ratio | 66.25 | 42.07 | 51.98 | 45.20 | 42.15 | 29.07 |
| Debt / Equity Ratio | 0.28 | 0.29 | 0.33 | 0.36 | 0.39 | 0.47 |
| Debt / EBITDA Ratio | 0.63 | 0.64 | 0.69 | 0.74 | 0.76 | 0.78 |
| Debt / FCF Ratio | 2.23 | 1.92 | 1.57 | 1.32 | 1.34 | 1.20 |
| Net Debt / Equity Ratio | 0.15 | 0.12 | 0.05 | 0.08 | -0.15 | -0.16 |
| Net Debt / EBITDA Ratio | 0.34 | 0.27 | 0.11 | 0.17 | -0.31 | -0.27 |
| Net Debt / FCF Ratio | 1.16 | 0.78 | 0.25 | 0.30 | -0.54 | -0.40 |
| Asset Turnover | 0.49 | 0.48 | 0.50 | 0.53 | 0.55 | 0.57 |
| Inventory Turnover | 75.58 | 91.11 | 80.43 | 39.57 | 21.10 | 19.65 |
| Quick Ratio | 1.07 | 1.10 | 1.22 | 1.14 | 1.62 | 1.63 |
| Current Ratio | 1.23 | 1.23 | 1.35 | 1.27 | 1.77 | 1.78 |
| Return on Equity (ROE) | 34.22% | 34.04% | 33.28% | 37.13% | 38.82% | 47.15% |
| Return on Assets (ROA) | 14.41% | 14.09% | 14.20% | 14.80% | 14.24% | 14.92% |
| Return on Invested Capital (ROIC) | 25.35% | 29.25% | 32.48% | 38.47% | 45.60% | 61.87% |
| Return on Capital Employed (ROCE) | 26.00% | 26.30% | 26.90% | 28.30% | 28.80% | 30.90% |
| Earnings Yield | 3.72% | 4.83% | 2.75% | 2.65% | 2.86% | 3.79% |
| FCF Yield | 1.54% | 2.42% | 1.94% | 2.23% | 2.35% | 3.39% |
| Dividend Yield | 0.76% | 0.98% | 0.67% | 0.67% | 0.80% | 0.96% |
| Payout Ratio | 20.47% | 19.77% | 23.65% | 24.70% | 27.36% | 24.93% |
| Buyback Yield / Dilution | 0.21% | 0.16% | 0.05% | 0.04% | 0.90% | 0.89% |
| Total Shareholder Return | 0.96% | 1.14% | 0.72% | 0.71% | 1.70% | 1.86% |