Microsoft’s Oct. 28 earnings report will test its forecast for about 45% Azure growth in constant currency, following a 43% gain in Azure and other cloud services in the preceding quarter.
The benchmark is forward-looking. Microsoft’s Azure and other cloud services revenue rose 43% from a year earlier in the quarter ended June 30, 2026. The next result will show whether growth has reached the level Microsoft forecast.
Microsoft’s official July earnings outlook calls for approximately 45% Azure growth in fiscal 2027’s first quarter in constant currency, which removes exchange-rate effects. The company expects currency movements to reduce reported growth in its Intelligent Cloud segment by less than one percentage point.
Other analysts have set higher expectations. BNP Paribas analyst Stefan Slowinski projects 46% Azure growth in the first quarter and 49% in the second. TD Cowen analyst Derrick Wood expects Azure to exceed expectations by a wider margin than it typically does.
Microsoft has added data center capacity as demand for cloud and artificial intelligence workloads grows.
Microsoft reported 41% Azure revenue growth for fiscal 2026, taking the business above $100 billion for the year. On the company’s July earnings call, Chief Financial Officer Amy Hood said customer demand continued to exceed available supply.
Microsoft’s investor-relations schedule lists its fiscal 2027 first-quarter results for Oct. 28. The release will provide the next Azure growth figure against the company’s July forecast.
