Microsoft Files Q2 2025 10-Q

TL;DR

MSFT Q2 10-Q filed. Financials look solid.

AI Summary

Microsoft Corp. filed its 10-Q for the period ending December 31, 2024, reporting on its second fiscal quarter. The filing details financial performance and operational updates for the company. Key financial data and business segments are presented, reflecting Microsoft's ongoing activities in the technology sector.

Why It Matters

This filing provides investors and analysts with the latest financial health and operational performance of Microsoft, a major player in the tech industry.

Risk Assessment

Risk Level: low — This is a routine quarterly filing from a large, established company with no immediate red flags.

Key Numbers

• 20241231 — Period End Date (Quarterly financial reporting period)
• 20250129 — Filing Date (Date the report was submitted to the SEC)

Key Players & Entities

• MICROSOFT CORP (company) — Filer
• 0000789019 (company) — Central Index Key
• 20241231 (date) — Period of Report
• 20250129 (date) — Filing Date
• WA (location) — State of Incorporation
• REDMOND (location) — Business Address City
• 425-882-8080 (phone_number) — Business Phone

FAQ

Key Financial Figures

• $0.00000625 — nge on which registered Common stock, $0.00000625 par value per share MSFT Nasdaq 3

Filing Documents

• msft-20241231.htm (10-Q) — 6150KB
• msft-ex15_1.htm (EX-15.1) — 6KB
• msft-ex31_1.htm (EX-31.1) — 12KB
• msft-ex31_2.htm (EX-31.2) — 12KB
• msft-ex32_1.htm (EX-32.1) — 8KB
• msft-ex32_2.htm (EX-32.2) — 8KB
• 0000950170-25-010491.txt ( ) — 26604KB
• msft-20241231.xsd (EX-101.SCH) — 1553KB
• msft-20241231_htm.xml (XML) — 8268KB

Financial Statements

Financial Statements a) Income Statements for the Three and Six Months Ended December 31, 2024 and 2023 3 b) Comprehensive Income Statements for the Three and Six Months Ended December 31, 2024 and 2023 4 c) Balance Sheets as of December 31, 2024 and June 30, 2024 5 d) Cash Flows Statements for the Three and Six Months Ended December 31, 2024 and 2023 6 e) Stockholders' Equity Statements for the Three and Six Months Ended December 31, 2024 and 2023 7 f)

Notes to Financial Statements

Notes to Financial Statements 8 g) Report of Independent Registered Public Accounting Firm 31 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 32 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 47 Item 4.

Controls and Procedures

Controls and Procedures 47 PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 48 Item 1A.

Risk Factors

Risk Factors 48 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 64 Item 5. Other Information 65 Item 6. Exhibits 66 SIGNATURE 67 2 PART I Item 1

FINANCI AL INFORMATION

PART I. FINANCI AL INFORMATION

FINANCI AL STATEMENTS

ITEM 1. FINANCI AL STATEMENTS INCOME STA TEMENTS (In millions, except per share amounts) (Unaudited) Three Months Ended December 31, Six Months Ended December 31, 2024 2023 2024 2023 Revenue: Product $ 16,219 $ 18,941 $ 31,491 $ 34,476 Service and other 53,413 43,079 103,726 84,061 Total revenue 69,632 62,020 135,217 118,537 Cost of revenue: Product 3,856 5,964 7,150 9,495 Service and other 17,943 13,659 34,748 26,430 Total cost of revenue 21,799 19,623 41,898 35,925 Gross margin 47,833 42,397 93,319 82,612 Research and development 7,917 7,142 15,461 13,801 Sales and marketing 6,440 6,246 12,157 11,433 General and administrative 1,823 1,977 3,496 3,451 Operating income 31,653 27,032 62,205 53,927 Other expense, net ( 2,288 ) ( 506 ) ( 2,571 ) ( 117 ) Income before income taxes 29,365 26,526 59,634 53,810 Provision for income taxes 5,257 4,656 10,859 9,649 Net income $ 24,108 $ 21,870 $ 48,775 $ 44,161 Earnings per share: Basic $ 3.24 $ 2.94 $ 6.56 $ 5.94 Diluted $ 3.23 $ 2.93 $ 6.53 $ 5.92 Weighted average shares outstanding: Basic 7,435 7,432 7,434 7,431 Diluted 7,468 7,468 7,469 7,465 Refer to accompanying notes. 3 PART I Item 1 COMPREHENSIVE IN COME STATEMENTS (In millions) (Unaudited) Three Months Ended December 31, Six Months Ended December 31, 2024 2023 2024 2023 Net income $ 24,108 $ 21,870 $ 48,775 $ 44,161 Other comprehensive income (loss), net of tax: Net change related to derivatives 34 ( 3 ) 24 18 Net change related to investments ( 434 ) 1,331 680 1,071 Translation adjustments and other ( 1,034 ) 660 ( 730 ) 305 Other comprehensive income (loss) ( 1,434 ) 1,988 ( 26 ) 1,394 Comprehensive income $ 22,67

View Full Filing

View this 10-Q filing on SEC EDGAR