Microsoft FY25 EBIT walkthrough

Microsoft reports operating income segmented across Productivity & Business Processes, Intelligent Cloud, and More Personal Computing. Equity investment gains and losses sit in "Other income/(expense)" and need to be unpacked from the notes to land at a clean EBIT[EDGAR].

Income statement (FY25 selected lines)

Line (illustrative FY25)$M
Revenue245,122
Cost of revenue74,114
Gross margin171,008
Operating expenses61,791
Operating income109,217
Other income/(expense), net315
EBIT109,532
Provision for income taxes19,651
Net income88,136

Illustrative; verify against the live filing. Equity investment gains and losses (Activision-related, OpenAI-related) need to be excluded from EBIT if you want a pure-operating figure.

Sourcing notes

Pulled from the most recent 10-K filed with SEC EDGAR (CIK 0000789019). Figures shown in millions of US dollars unless otherwise noted. The full filing is atEDGAR filings index.

Walker cross-link

Paste these figures into the homepage walker to reproduce the reconciliation, or use the 10-K paste parser to do it automatically.