Microsoft's share price has swung hard on its last four earnings reports. In January the stock fell almost 10% the day after its results. In July it jumped more than 15%, its best post-earnings day in years.
This report is harder to read than usual. Microsoft has changed how it splits its business, so the familiar segment numbers are gone, and its cloud figure has a new, narrower definition. The quarter covers July to September 2026, which Microsoft calls Q1 FY2027, the first quarter of its 2027 fiscal year. Most previews of the report ask the same questions as in July: how fast its Azure cloud is growing, and how much it is spending on AI to get there.
When does Microsoft report Q1 FY2027 earnings?
Microsoft reports its fiscal first-quarter 2027 results after the US market closes on Wednesday, October 28, 2026. The results go up on its investor relations website, and a live webcast starts at 5.30PM ET, or 9.30PM UTC. That is late evening in most of Europe and early Thursday in Asia and Australia (source: Microsoft, October 7, 2026).
The numbers usually land a few minutes after the close. Over the last four reports, Microsoft's earnings filing reached the Securities and Exchange Commission (SEC) between 4.03PM and 4.07PM ET, or 8.03PM to 8.07PM UTC. In July it arrived at 4.04PM ET (source: SEC EDGAR, Microsoft July 2026 filing). Microsoft gives its outlook for the next quarter on the call, not in the release, so the webcast can move the stock again.
US daylight saving time runs until November 1, so ET is still four hours behind UTC on report night. The October 2026 earnings season page lists the other big reports in the same week, and how earnings season works explains the calendar behind them.
What Microsoft told the market to expect
Microsoft gave a forecast for this quarter in July and repeated it in September, when it moved to two new segments. It expects revenue of $89.85 billion to $90.95 billion, up about 16% from a year earlier at the middle of the range (source: Microsoft, September 2, 2026).
The new segments are Agents and Infra, which holds Azure, Microsoft 365 and other business software, and Devices and Consumer, which holds Windows, Xbox, and search and advertising. Microsoft also narrowed its Azure definition. On the new basis, last quarter's Azure growth was 42%, not the 43% first reported (source: Microsoft, September 2, 2026). The full forecast from that filing:
Guidance item | Q1 FY2027 forecast (Microsoft) |
|---|---|
Revenue | $89.85 billion to $90.95 billion |
Agents and Infra revenue | $75.15 billion to $75.75 billion |
Devices and Consumer revenue | $14.7 billion to $15.2 billion |
Azure growth, constant currency | 44% to 45% |
Capital spending | Over $50 billion |
Operating margin | Relatively flat from a year earlier |
Microsoft also expects a loss of roughly $100 million in other income, excluding anything from its OpenAI stake (source: Microsoft, September 2, 2026). This will be the first earnings release to give Azure's quarterly revenue in dollars. In September, Microsoft published restated figures, including $29.4 billion for the June quarter (source: Microsoft, September 2, 2026).
Microsoft Q1 FY2027 earnings preview: What analysts expect
Analysts expect Microsoft's adjusted profit per share to grow a little more slowly than its revenue this time. The Zacks consensus is adjusted earnings per share (EPS) of $4.71, up 14% from $4.13, on revenue of $90.59 billion, up 16.6% (source: Zacks via Yahoo Finance, October 22, 2026). That revenue estimate sits in the upper half of Microsoft's own range.
The estimates have barely moved in the past month. Zacks puts the 30-day change in its EPS figure at about 0.2% (source: Zacks via Yahoo Finance, October 22, 2026). Last time, Microsoft cleared the bar by a wide margin. In July, analysts polled by LSEG expected EPS of $4.24, and Microsoft earned $4.74, which included a $3.2 billion gain on its Anthropic stake (source: CNBC, July 29, 2026).
Measure | Q1 FY2026 actual | Q4 FY2026 actual | Q1 FY2027 forecast (Zacks) |
|---|---|---|---|
Adjusted EPS | $4.13 | $4.74 | $4.71 |
Revenue | $77.7 billion | $90.0 billion | $90.59 billion |
Azure growth | 40% (39% in constant currency) | 42% (new basis) | 44% to 45% guided |
The actual figures come from Microsoft's own releases (source: Microsoft, July 29, 2026) (source: Microsoft, October 29, 2025). For Azure, TD Cowen models 45% growth, the top of Microsoft's range (source: Seeking Alpha via TradingView, October 15, 2026).
What will move Microsoft stock on Wednesday
EPS has rarely been the problem. Microsoft beat the EPS consensus in each of its last four quarters, yet the stock fell after three of those reports. Previews focus on four things, and most of the answers arrive on the call.
Azure growth and capacity
Azure grew 43% on the old basis last quarter, against the 40.2% analysts polled by StreetAccount expected, and that beat, along with a steady spending plan, sent the stock higher in July (source: CNBC, July 29, 2026). Cantor Fitzgerald says the business is still "capacity constrained", so growth depends on how fast new data centers come online (source: CNBC, September 21, 2026). A result of 45% would only match TD Cowen's estimate.
AI spending and free cash flow
Capital spending including finance leases reached $41 billion last quarter, up 69%, and free cash flow fell 23% to $19.6 billion (source: CNBC, July 29, 2026). This quarter Microsoft expects spending of over $50 billion. In July, finance chief Amy Hood also said she expects positive free cash flow for the full 2027 fiscal year. Spending has hit the stock before. In October 2025 it slipped after Hood said spending growth would speed up (source: CNBC, October 29, 2025). In January 2026, slower cloud growth, light margin guidance and higher-than-expected spending pushed it down (source: CNBC, January 28, 2026).
OpenAI and other income
Microsoft owns about 25% of OpenAI and books its share of OpenAI's results in other income (source: Microsoft, 10-K for fiscal 2026). Those swings can be huge. In fiscal 2026 the stake cut net income by $3.1 billion in the September quarter (source: Microsoft, October 29, 2025) and added $7.6 billion in the December quarter (source: Microsoft, January 28, 2026). Microsoft leaves OpenAI out of its adjusted EPS, so the $4.71 consensus does not include it, while the reported figure under generally accepted accounting principles (GAAP) can land far away. OpenAI is also a major customer. In January, Microsoft said about 45% of its contracted future revenue was tied to OpenAI (source: CNBC, July 29, 2026).
Copilot and margins
Microsoft 365 Copilot passed 30 million paid seats in July, up from more than 20 million in April (source: CNBC, July 29, 2026). Jefferies expects Copilot to lift Microsoft 365 commercial growth to 17% (source: Seeking Alpha via TradingView, October 15, 2026). The cloud gross margin has slipped from 68% to 65% over the last four quarters (source: The Motley Fool, October 11, 2026), which Microsoft puts down to its AI infrastructure spending and growing AI use (source: Microsoft, 10-K for fiscal 2026). Microsoft guided that margin to be "relatively stable" this quarter (source: Microsoft, September 2, 2026).
Microsoft, bitcoin and the crypto market
Microsoft's filings disclose no bitcoin holdings, and its shareholders have already said no to the idea. In December 2024 a proposal asking Microsoft to assess buying bitcoin won just 0.55% of the votes cast (source: Microsoft, December 11, 2024). So there is no crypto line inside Microsoft's results.
The link is mood, not money. Microsoft is one of the biggest names in the AI trade, and a strong or weak AI spending story can shift risk appetite across markets. In BloFin's data, the BTCUSDT Perpetual fell 3.7% and 5.4% in the 24 hours after Microsoft's October 2025 and January 2026 reports (source: BloFin BTCUSDT price data, 4PM ET to 4PM ET). Bitcoin rose 1.1% and 1.9% after the April and July reports (source: BloFin BTCUSDT price data). All four of those reports also landed on the afternoon of a Federal Reserve rate decision, and so does this one (source: Federal Reserve, meeting calendar). The Fed announces at 2PM ET (6PM UTC) on October 28, two hours before Microsoft reports (source: Federal Reserve, October 2026 calendar). So treat the bitcoin pattern as context, not cause. Tesla is the contrast: the Tesla Q3 2026 earnings preview shows how the bitcoin Tesla holds feeds into its net income.
How Microsoft stock moved after its last four reports
Measured on closing prices, Microsoft's stock has moved more than its options market expected after two of its last four reports. Before the July report, options pointed to a move of about 6.7% (source: Investing.com, October 21, 2026). The stock then rose 15.5% the next day (source: Nasdaq, Microsoft price history).
Report | Options-implied move | Microsoft shares, next session (Nasdaq) | BloFin perpetual, 24 hours | Bitcoin, same 24 hours |
|---|---|---|---|---|
Q1 FY2026, October 29, 2025 | 4.7% | −2.9% | Not yet listed | −3.7% |
Q2 FY2026, January 28, 2026 | 4.9% | −10.0% | Not yet listed | −5.4% |
Q3 FY2026, April 29, 2026 | 5.6% | −3.9% | −3.7% | +1.1% |
Q4 FY2026, July 29, 2026 | 6.7% | +15.5% | +15.2% | +1.9% |
Implied moves are from options data compiled by Bloomberg (source: Investing.com, October 21, 2026). Nasdaq moves are close-to-close (source: Nasdaq, Microsoft price history). BloFin's figures run from 4PM ET on the report day to 4PM ET the next day. BloFin listed the MSFTUSDT Perpetual on April 20, 2026, so it has no figure for the two earlier reports.
This time, options data compiled by Bloomberg pointed to a move of about 4.6% (source: Investing.com, October 21, 2026). That figure changes daily and says nothing about direction. The stock has also risen about 33% from its July 29 close to $521.08 on October 22 (source: Nasdaq, Microsoft price history). On October 15, UBS analysts said the rally had made the shares "a consensus long" (source: Seeking Alpha via TradingView, October 15, 2026). For a side-by-side view, see how Microsoft stock compares with Alphabet's and with Apple's.
To follow the reaction on BloFin, watch the MSFTUSDT Perpetual, which keeps quoting after the close even while new positions may be limited.
Trading Microsoft's report on BloFin
BloFin's TradFi markets let you trade Microsoft through the MSFTUSDT Perpetual, with up to 20x leverage. It follows US regular hours, 9.30AM to 4PM ET, and outside them you may only be able to close or cut a position (source: BloFin, stock futures trading hours). Microsoft reports after the close, so new positions may be blocked during the first reaction.
Size any position held through the report for a January-sized move. Say you hold a 3,000 USDT long on the Microsoft perpetual at 5x leverage, backed by 600 USDT of margin. A repeat of January's 10% fall would cost about 300 USDT by the next US close, at 4PM ET on Thursday. That is half your margin. Event risk in crypto covers how to plan around scheduled news like this. BloFin also offers copy trading on this perpetual, and copy trading explained shows why a copied position carries the same risk.
Looking to trade Microsoft? To get started, you'll need to first create a BloFin account, fund your account with cryptocurrency, and navigate to the MSFTUSDT Perpetual page, or browse the lead traders you can copy on BloFin. The BTCUSDT Perpetual follows bitcoin through the same evening.
Frequently asked questions
What time will Microsoft earnings come out?
Microsoft's results usually land within ten minutes of the 4PM ET close on Wednesday, October 28, and the webcast starts at 5.30PM ET. That is 8PM to 8.10PM UTC for the results and 9.30PM UTC for the webcast, late evening in Europe and early Thursday morning across Asia and Australia.
Is Microsoft expected to have good earnings?
Zacks rates the stock a Hold going into the report. The 14 analysts in its consensus range from $4.62 to $4.84 a share, all above the $4.13 Microsoft earned a year earlier (source: Nasdaq, Microsoft earnings forecast). Whether the results count as good will depend on Azure and the spending outlook more than on EPS.
Does Microsoft own bitcoin?
Its 10-K for fiscal 2026 does not mention bitcoin or any crypto holding. In its 2024 proxy, Microsoft's board said past reviews of where to put its cash had included bitcoin, and that it would keep watching crypto (source: Microsoft, 2024 proxy statement). No bitcoin proposal appeared on the 2025 or 2026 ballot.
When is Microsoft's 2026 annual meeting?
Microsoft holds its 2026 annual shareholder meeting online on December 8, 2026, at 11.30AM ET (4.30PM UTC). Shareholders on record on September 30 can vote, and the proxy went out to them around October 22. Board members Reid Hoffman and Hugh Johnston are not standing for re-election (source: Microsoft, 2026 proxy statement).
When is Microsoft's next dividend?
Microsoft declared a quarterly dividend of $0.98 a share on September 15, up 8% from $0.91. It is paid on December 10, 2026, to shareholders on record on November 19, which is also the ex-dividend date (source: Microsoft via Finviz, September 15, 2026).
Researched and written by the BloFin Academy editorial team with AI-assisted drafting. All facts independently verified. Sources include Microsoft's SEC filings, releases and proxy statements, Zacks, LSEG and StreetAccount via CNBC and Yahoo Finance, CNBC, Seeking Alpha, The Motley Fool, Investing.com, Nasdaq and BloFin, current as of October 23, 2026.
Nothing in this article constitutes financial advice, and nothing in it is a recommendation to buy, sell or hold Microsoft shares, the MSFTUSDT Perpetual or any crypto asset. Microsoft reports after the US close, when the stock perpetual may be limited to reduce-only orders, and the stock has moved as much as 15.5% in a day after recent reports. A leveraged position can be liquidated and lose all the margin behind it, and a stop-loss can fill well past its price on a gap. BloFin services are not available in restricted locations, including the United States. Past performance does not indicate future results. Do your own research and consider your risk tolerance before you trade on BloFin.