Microsoft reports strong cloud earnings, with Windows and Xbox up too

Here is a 174-word summary of the key points from the article: Microsoft reported strong financial results for the fourth quarter of its 2025 fiscal year, driven by continued growth in its cloud business. Revenue increased 18% to $76.4 billion, and net income rose 24% to $27.2 billion. Azure cloud revenue grew 39% year-over-year, surpassing $75 billion in annual revenue. This cloud strength came amid layoffs of up to 9,000 employees earlier in the month. Windows and Surface revenue also saw growth, with a 3% increase in Windows OEM revenue. Xbox content and services revenue rose 13%, but hardware revenue declined 22% despite the launch of new consoles. Microsoft's "Xbox everywhere" strategy continues, with more Xbox games coming to PlayStation and Nintendo platforms. The company is also preparing to showcase its new Xbox Ally handheld devices at Gamescom. Looking ahead, Microsoft expects declines in Xbox and gaming revenue in the next quarter, though its core cloud and productivity businesses remain strong.