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Microsoft’s AI engine accelerates with record growth and expanding partnerships

Microsoft kicked off its 2026 fiscal year with another blockbuster quarter. First quarter fiscal 2026 revenue reached US$77.7 billion, up 18% year-over-year, while operating income surged 24% and earnings per share climbed 23% to US$4.13. The company’s AI-driven momentum continued to build, with Microsoft Cloud revenue up 26% to US$49.1 billion, reflecting both unprecedented demand and a deepening integration of generative AI across its ecosystem.