Microsoft beats Q3 earnings expectations with 18% revenue growth to $82.89B, Azure surges 40%, but shares slip 2% as $31.9B capital spending falls short of $34.9B forecast amid narrow margins from data center build-out.

Microsoft beats on top and bottom lines with 40% Azure growth

Microsoft CEO Satya Nadella speaks during the Microsoft AI Tour event in Munich, Germany, on Feb. 25, 2026.Sven Hoppe | Picture Alliance | Getty ImagesMicrosoft shares slipped 2% on Wednesday after the software maker reported more robust fiscal third-quarter results than analysts had expected. Capital spending came in lower than anticipated.Here's how the company did in comparison with LSEG consensus:Earnings per share: $4.27 adjusted vs. $4.06 expectedRevenue: $82.89 billion vs. $81.39 billion ...