Microsoft Reports 18% Revenue Growth in Q3 Driven by Cloud and AI

Microsoft Corp. (MSFT) reported that for the quarter ended March 31, 2026, revenue rose 18% year-over-year to $82.9 billion (approximately KRW 112 trillion), net income increased 23% to $31.8 billion (approximately KRW 43 trillion), and diluted earnings per share (EPS) climbed 23% to $4.27.

Cloud revenue reached about $54.5 billion (approximately KRW 74 trillion), a 29% increase, while AI-related revenue on an annualized run-rate basis expanded to roughly $37 billion (approximately KRW 50 trillion), driving the improvement in results.

The company returned approximately $10.2 billion (approximately KRW 14 trillion) to shareholders through dividends and share repurchases, and on the same day appointed Carmine Di Sibio, former chairman and CEO of EY, to its board of directors, where he will serve on the Compensation and Audit Committees.

Recently, Microsoft integrated OpenAI’s GPT-5.5 Instant into Microsoft 365 Copilot and Copilot Studio, further enhancing AI capabilities in enterprise productivity and agent services. It has also consecutively unveiled new in-house AI models for voice and image generation and released Copilot Studio updates, extending the competitiveness of its cloud-based AI platform.

Having grown into a global software leader through its Windows operating system, Office suite and Azure Cloud, Microsoft is now leveraging Copilot and Azure OpenAI services to expand its footprint in generative AI infrastructure and applications. Across the global cloud and big-tech sectors, companies are stepping up large-scale investments in AI computing infrastructure, and Microsoft is likewise continuing to broaden its AI infrastructure plans to meet rising data-center and semiconductor demand.