Microsoft reports $28.9 billion in Q2 2018 revenue: Azure up 98%, Surface up 1%, and Windows up 4%

Microsoft today reported earnings for its second fiscal quarter of 2018, including revenue of $28.9 billion, net income of $7.5 billion, and earnings per share of $0.96 (compared to revenue of $26.1 billion, net income of $6.5 billion, and earnings per share of $0.83 in Q2 2017). All three of the company’s operating groups saw growth. The quarter’s results also included a net charge of $13.8 billion due to the Tax Cuts and Jobs Act.

Analysts had expected Microsoft to earn $28.39 billion in revenue and earnings per share of $0.86. In short, the company beat expectations. The company’s stock was up 2.45 percent in regular trading, but largely flat in after-hours trading. Microsoft said it returned $5 billion to shareholders in the form of share repurchases and dividends during the quarter.