Microsoft Surpasses Earnings Expectations but Stock Drops 4% on Growth Concerns 📉

Microsoft reported a strong earnings and revenue beat for the fiscal first quarter. Revenue increased 16% yearly, with net income rising 11%. However, the stock slid 4% in extended trading due to a slower growth forecast, below analysts’ expectations. Delays from outside suppliers in delivering data center infrastructure will prevent Microsoft from meeting demand in the fiscal second quarter. Azure revenue growth reached 33%, driven partly by AI services. Microsoft’s AI investments and infrastructure spending are key focus areas for investors.