# MICROSOFT CORPORATION (MSFT) FY2026 YTD Q2 P&L / Income Statement

- Company: MICROSOFT CORPORATION (MSFT)
- Period: 2025-07-01 to 2025-12-31
- Filing: Q2 FY2026 10-Q, filed 2026-01-28, accession number 0001193125-26-027207
- Page: https://plicit.ai/financials/msft/fy2026-ytd-q2-income-statement
- Chart image: https://plicit.ai/charts/msft-fy2026-ytd-q2-income-statement-sankey.png

## Chart details: Revenue by Product and Service (10 categories)

Income statement for 2025-07-01 through 2025-12-31. View: Product and service (10 categories). Revenue uses this breakdown; costs and expenses retain the consolidated categories.

- **Revenue**: 158,946,000,000 US dollars
- **Cost of revenue**: 50,021,000,000 US dollars
- **Gross margin**: 108,925,000,000 US dollars
- **Operating expenses (calculated)**: 32,689,000,000 US dollars
- **Operating income**: 76,236,000,000 US dollars
- **Other income (expense), net**: 6,311,000,000 US dollars
- **Income before income taxes**: 82,547,000,000 US dollars
- **Provision for income taxes**: 16,342,000,000 US dollars
- **Net income**: 66,205,000,000 US dollars
- **Server Products and Cloud Services**: 59,737,000,000 US dollars
- **Microsoft 365 Commercial Products and Cloud Services**: 48,490,000,000 US dollars
- **Gaming**: 11,466,000,000 US dollars
- **LinkedIn**: 9,796,000,000 US dollars
- **Windows and Devices**: 9,030,000,000 US dollars
- **Search and News Advertising**: 7,509,000,000 US dollars
- **Microsoft 365 Consumer Products and Cloud Services**: 4,509,000,000 US dollars
- **Dynamics Products and Cloud Services**: 4,340,000,000 US dollars
- **Enterprise and Partner Services**: 4,060,000,000 US dollars
- **Other**: 9,000,000 US dollars
- **Research and development**: 16,650,000,000 US dollars
- **Sales and marketing**: 12,301,000,000 US dollars
- **General and administrative**: 3,738,000,000 US dollars

### Chart connections

- Revenue less cost of revenue equals gross profit; gross profit less operating expenses equals operating income.
- Operating income plus other income or expense equals income before tax. Income before tax less income tax expense or benefit equals net income.

## Chart details: Revenue by Business Segment

- Page: https://plicit.ai/financials/msft/fy2026-ytd-q2-income-statement/revenue-by-business-segment
- Chart image: https://plicit.ai/charts/msft-fy2026-ytd-q2-revenue-by-business-segment-sankey.png

Income statement for 2025-07-01 through 2025-12-31. View: Business segment. Revenue and costs use their disclosed categories.

- **Revenue**: 158,946,000,000 US dollars
- **Cost of revenue**: 50,021,000,000 US dollars
- **Gross margin**: 108,925,000,000 US dollars
- **Operating expenses (calculated)**: 32,689,000,000 US dollars
- **Operating income**: 76,236,000,000 US dollars
- **Other income (expense), net**: 6,311,000,000 US dollars
- **Income before income taxes**: 82,547,000,000 US dollars
- **Provision for income taxes**: 16,342,000,000 US dollars
- **Net income**: 66,205,000,000 US dollars
- **Productivity and Business Processes revenue**: 67,136,000,000 US dollars
- **Intelligent Cloud revenue**: 63,804,000,000 US dollars
- **More Personal Computing revenue**: 28,006,000,000 US dollars
- **Productivity and Business Processes cost of revenue**: 11,831,000,000 US dollars
- **Intelligent Cloud cost of revenue**: 25,880,000,000 US dollars
- **More Personal Computing cost of revenue**: 12,310,000,000 US dollars
- **Research and development**: 16,650,000,000 US dollars
- **Sales and marketing**: 12,301,000,000 US dollars
- **General and administrative**: 3,738,000,000 US dollars

### Chart connections

- Revenue less cost of revenue equals gross profit; gross profit less operating expenses equals operating income.
- Operating income plus other income or expense equals income before tax. Income before tax less income tax expense or benefit equals net income.

## Chart details: Revenue by Product and Service (2 categories)

- Page: https://plicit.ai/financials/msft/fy2026-ytd-q2-income-statement/revenue-by-product-and-service-2-categories
- Chart image: https://plicit.ai/charts/msft-fy2026-ytd-q2-revenue-by-product-and-service-2-categories-sankey.png

Income statement for 2025-07-01 through 2025-12-31. View: Product and service (2 categories). Revenue and costs use their disclosed categories.

- **Revenue**: 158,946,000,000 US dollars
- **Cost of revenue**: 50,021,000,000 US dollars
- **Gross margin**: 108,925,000,000 US dollars
- **Operating expenses (calculated)**: 32,689,000,000 US dollars
- **Operating income**: 76,236,000,000 US dollars
- **Other income (expense), net**: 6,311,000,000 US dollars
- **Income before income taxes**: 82,547,000,000 US dollars
- **Provision for income taxes**: 16,342,000,000 US dollars
- **Net income**: 66,205,000,000 US dollars
- **Product revenue**: 32,373,000,000 US dollars
- **Service and Other revenue**: 126,573,000,000 US dollars
- **Product cost of revenue**: 6,427,000,000 US dollars
- **Service and Other cost of revenue**: 43,594,000,000 US dollars
- **Research and development**: 16,650,000,000 US dollars
- **Sales and marketing**: 12,301,000,000 US dollars
- **General and administrative**: 3,738,000,000 US dollars

### Chart connections

- Revenue less cost of revenue equals gross profit; gross profit less operating expenses equals operating income.
- Operating income plus other income or expense equals income before tax. Income before tax less income tax expense or benefit equals net income.

## Chart details: Revenue by Geography

- Page: https://plicit.ai/financials/msft/fy2026-ytd-q2-income-statement/revenue-by-geography
- Chart image: https://plicit.ai/charts/msft-fy2026-ytd-q2-revenue-by-geography-sankey.png

Income statement for 2025-07-01 through 2025-12-31. View: Geography. Revenue uses this breakdown; costs and expenses retain the consolidated categories.

- **Revenue**: 158,946,000,000 US dollars
- **Cost of revenue**: 50,021,000,000 US dollars
- **Gross margin**: 108,925,000,000 US dollars
- **Operating expenses (calculated)**: 32,689,000,000 US dollars
- **Operating income**: 76,236,000,000 US dollars
- **Other income (expense), net**: 6,311,000,000 US dollars
- **Income before income taxes**: 82,547,000,000 US dollars
- **Provision for income taxes**: 16,342,000,000 US dollars
- **Net income**: 66,205,000,000 US dollars
- **UNITED STATES**: 81,487,000,000 US dollars
- **Other Countries**: 77,459,000,000 US dollars
- **Research and development**: 16,650,000,000 US dollars
- **Sales and marketing**: 12,301,000,000 US dollars
- **General and administrative**: 3,738,000,000 US dollars

### Chart connections

- Revenue less cost of revenue equals gross profit; gross profit less operating expenses equals operating income.
- Operating income plus other income or expense equals income before tax. Income before tax less income tax expense or benefit equals net income.