Microsoft revamps reporting, adds quarterly Azure revenue disclosure

Microsoft is restructuring its financial reporting by collapsing its former three divisions into two broader segments called Agents and Infra and Devices and Consumer. The Devices and Consumer segment will aggregate Xbox, Windows OEM and device sales, along with LinkedIn and search advertising income, while Agents and Infra will cover Azure, Microsoft 365 Cloud, server products, industry solutions and frontier services.

For the first time, Azure revenue will be presented on a quarterly basis, stripped of GitHub cloud, Security Copilot and Healthcare and Life Sciences cloud earnings. CEO Satya Nadella explained that the shift mirrors the profound influence of artificial intelligence on how the company builds and operates its offerings. These reporting changes will take effect with the first-quarter fiscal 2027 results expected in late October, providing investors with clearer insight into the core cloud platform’s performance.