msft-10q_20221231.htm
false
2023
Q2
0000789019
--06-30
http://fasb.org/us-gaap/2022#OtherAssetsCurrent
http://fasb.org/us-gaap/2022#OtherAssetsCurrent
http://fasb.org/us-gaap/2022#OtherAssetsCurrent
http://fasb.org/us-gaap/2022#OtherAssetsCurrent
http://fasb.org/us-gaap/2022#OtherAssetsNoncurrent
http://fasb.org/us-gaap/2022#OtherAssetsNoncurrent
http://fasb.org/us-gaap/2022#OtherLiabilitiesCurrent
http://fasb.org/us-gaap/2022#OtherLiabilitiesCurrent
http://fasb.org/us-gaap/2022#OtherLiabilitiesNoncurrent
http://fasb.org/us-gaap/2022#OtherLiabilitiesNoncurrent
0000789019
2022-07-01
2022-12-31
0000789019
us-gaap:CommonStockMember
2022-07-01
2022-12-31
xbrli:shares
0000789019
2023-01-19
iso4217:USD
xbrli:shares
0000789019
msft:NotesThreePointOneTwoFivePercentDueDecemberSixTwentyTwentyEightMember
2022-07-01
2022-12-31
0000789019
msft:NotesTwoPointSixTwoFivePercentDueMayTwoTwentyThirtyThreeMember
2022-07-01
2022-12-31
iso4217:USD
0000789019
us-gaap:ProductMember
2022-10-01
2022-12-31
0000789019
us-gaap:ProductMember
2021-10-01
2021-12-31
0000789019
us-gaap:ProductMember
2022-07-01
2022-12-31
0000789019
us-gaap:ProductMember
2021-07-01
2021-12-31
0000789019
us-gaap:ServiceOtherMember
2022-10-01
2022-12-31
0000789019
us-gaap:ServiceOtherMember
2021-10-01
2021-12-31
0000789019
us-gaap:ServiceOtherMember
2022-07-01
2022-12-31
0000789019
us-gaap:ServiceOtherMember
2021-07-01
2021-12-31
0000789019
2022-10-01
2022-12-31
0000789019
2021-10-01
2021-12-31
0000789019
2021-07-01
2021-12-31
0000789019
2022-12-31
0000789019
2022-06-30
0000789019
2022-09-30
0000789019
2021-09-30
0000789019
2021-06-30
0000789019
2021-12-31
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2022-09-30
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2021-09-30
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2022-06-30
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2021-06-30
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2022-10-01
2022-12-31
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2021-10-01
2021-12-31
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2022-07-01
2022-12-31
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2021-07-01
2021-12-31
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2022-12-31
0000789019
us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember
2021-12-31
0000789019
us-gaap:RetainedEarningsMember
2022-09-30
0000789019
us-gaap:RetainedEarningsMember
2021-09-30
0000789019
us-gaap:RetainedEarningsMember
2022-06-30
0000789019
us-gaap:RetainedEarningsMember
2021-06-30
0000789019
us-gaap:RetainedEarningsMember
2022-10-01
2022-12-31
0000789019
us-gaap:RetainedEarningsMember
2021-10-01
2021-12-31
0000789019
us-gaap:RetainedEarningsMember
2022-07-01
2022-12-31
0000789019
us-gaap:RetainedEarningsMember
2021-07-01
2021-12-31
0000789019
us-gaap:RetainedEarningsMember
2022-12-31
0000789019
us-gaap:RetainedEarningsMember
2021-12-31
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2022-09-30
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2021-09-30
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2022-06-30
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2021-06-30
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2022-10-01
2022-12-31
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2021-10-01
2021-12-31
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2022-07-01
2022-12-31
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2021-07-01
2021-12-31
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2022-12-31
0000789019
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2021-12-31
0000789019
us-gaap:DebtSecuritiesMember
2022-07-01
2022-12-31
0000789019
us-gaap:EquitySecuritiesMember
2022-07-01
2022-12-31
0000789019
us-gaap:CashFlowHedgingMember
us-gaap:OtherComprehensiveIncomeMember
2022-07-01
2022-12-31
0000789019
msft:NuanceCommunicationsIncMember
2022-07-01
2022-12-31
0000789019
msft:ServerEquipmentMember
us-gaap:ServiceLifeMember
2021-07-01
2022-06-30
0000789019
msft:ServerEquipmentMember
us-gaap:ServiceLifeMember
2022-07-01
2022-07-01
0000789019
msft:NetworkEquipmentMember
us-gaap:ServiceLifeMember
2021-07-01
2022-06-30
0000789019
msft:NetworkEquipmentMember
us-gaap:ServiceLifeMember
2022-07-01
2022-07-01
0000789019
us-gaap:ServiceLifeMember
2022-10-01
2022-12-31
0000789019
us-gaap:ServiceLifeMember
2022-07-01
2022-12-31
msft:Job
0000789019
us-gaap:SubsequentEventMember
2023-01-18
2023-01-18
0000789019
us-gaap:DebtSecuritiesMember
2022-10-01
2022-12-31
0000789019
us-gaap:DebtSecuritiesMember
2021-10-01
2021-12-31
0000789019
us-gaap:DebtSecuritiesMember
2022-07-01
2022-12-31
0000789019
us-gaap:DebtSecuritiesMember
2021-07-01
2021-12-31
0000789019
us-gaap:EquitySecuritiesMember
2022-10-01
2022-12-31
0000789019
us-gaap:EquitySecuritiesMember
2021-10-01
2021-12-31
0000789019
us-gaap:EquitySecuritiesMember
2022-07-01
2022-12-31
0000789019
us-gaap:EquitySecuritiesMember
2021-07-01
2021-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:CommercialPaperMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:CertificatesOfDepositMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel1Member
us-gaap:USTreasurySecuritiesMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:USGovernmentAgenciesDebtSecuritiesMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:ForeignGovernmentDebtSecuritiesMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:AssetBackedSecuritiesMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:CorporateDebtSecuritiesMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel3Member
us-gaap:CorporateDebtSecuritiesMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
us-gaap:USStatesAndPoliticalSubdivisionsMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:FairValueInputsLevel3Member
us-gaap:USStatesAndPoliticalSubdivisionsMember
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:DebtSecuritiesMember
2022-12-31
0000789019
us-gaap:EquitySecuritiesMember
us-gaap:FairValueInputsLevel1Member
2022-12-31
0000789019
us-gaap:EquitySecuritiesMember
msft:OtherMeasurementMember
2022-12-31
0000789019
us-gaap:EquitySecuritiesMember
2022-12-31
0000789019
us-gaap:CashMember
2022-12-31
0000789019
us-gaap:DerivativeMember
2022-12-31
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:CommercialPaperMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:CertificatesOfDepositMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:USTreasurySecuritiesMember
us-gaap:FairValueInputsLevel1Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:USGovernmentAgenciesDebtSecuritiesMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:ForeignGovernmentDebtSecuritiesMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:AssetBackedSecuritiesMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:CorporateDebtSecuritiesMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:CorporateDebtSecuritiesMember
us-gaap:FairValueInputsLevel3Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:USStatesAndPoliticalSubdivisionsMember
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
us-gaap:USStatesAndPoliticalSubdivisionsMember
us-gaap:FairValueInputsLevel3Member
2022-06-30
0000789019
us-gaap:DebtSecuritiesMember
2022-06-30
0000789019
us-gaap:EquitySecuritiesMember
us-gaap:FairValueInputsLevel1Member
2022-06-30
0000789019
us-gaap:EquitySecuritiesMember
msft:OtherMeasurementMember
2022-06-30
0000789019
us-gaap:EquitySecuritiesMember
2022-06-30
0000789019
us-gaap:CashMember
2022-06-30
0000789019
us-gaap:DerivativeMember
2022-06-30
0000789019
us-gaap:USTreasuryAndGovernmentMember
2022-12-31
0000789019
us-gaap:ForeignGovernmentDebtSecuritiesMember
2022-12-31
0000789019
us-gaap:AssetBackedSecuritiesMember
2022-12-31
0000789019
us-gaap:CorporateDebtSecuritiesMember
2022-12-31
0000789019
us-gaap:USStatesAndPoliticalSubdivisionsMember
2022-12-31
0000789019
us-gaap:USTreasuryAndGovernmentMember
2022-06-30
0000789019
us-gaap:ForeignGovernmentDebtSecuritiesMember
2022-06-30
0000789019
us-gaap:AssetBackedSecuritiesMember
2022-06-30
0000789019
us-gaap:CorporateDebtSecuritiesMember
2022-06-30
0000789019
us-gaap:USStatesAndPoliticalSubdivisionsMember
2022-06-30
0000789019
us-gaap:UnsecuredDebtMember
2022-07-01
2022-12-31
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:LongMember
us-gaap:ForeignExchangeContractMember
2022-12-31
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:LongMember
us-gaap:ForeignExchangeContractMember
2022-06-30
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:LongMember
us-gaap:InterestRateContractMember
2022-12-31
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:LongMember
us-gaap:InterestRateContractMember
2022-06-30
0000789019
us-gaap:NondesignatedMember
us-gaap:LongMember
us-gaap:ForeignExchangeContractMember
2022-12-31
0000789019
us-gaap:NondesignatedMember
us-gaap:LongMember
us-gaap:ForeignExchangeContractMember
2022-06-30
0000789019
us-gaap:NondesignatedMember
us-gaap:ShortMember
us-gaap:ForeignExchangeContractMember
2022-12-31
0000789019
us-gaap:NondesignatedMember
us-gaap:ShortMember
us-gaap:ForeignExchangeContractMember
2022-06-30
0000789019
us-gaap:NondesignatedMember
us-gaap:LongMember
us-gaap:OtherContractMember
2022-12-31
0000789019
us-gaap:NondesignatedMember
us-gaap:LongMember
us-gaap:OtherContractMember
2022-06-30
0000789019
us-gaap:NondesignatedMember
us-gaap:ShortMember
us-gaap:OtherContractMember
2022-12-31
0000789019
us-gaap:NondesignatedMember
us-gaap:ShortMember
us-gaap:OtherContractMember
2022-06-30
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:ForeignExchangeContractMember
2022-12-31
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:ForeignExchangeContractMember
2022-06-30
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:InterestRateContractMember
2022-12-31
0000789019
us-gaap:DesignatedAsHedgingInstrumentMember
us-gaap:InterestRateContractMember
2022-06-30
0000789019
us-gaap:NondesignatedMember
us-gaap:ForeignExchangeContractMember
2022-12-31
0000789019
us-gaap:NondesignatedMember
us-gaap:ForeignExchangeContractMember
2022-06-30
0000789019
us-gaap:NondesignatedMember
us-gaap:OtherContractMember
2022-12-31
0000789019
us-gaap:NondesignatedMember
us-gaap:OtherContractMember
2022-06-30
0000789019
us-gaap:ShortTermInvestmentsMember
2022-12-31
0000789019
us-gaap:ShortTermInvestmentsMember
2022-06-30
0000789019
us-gaap:OtherCurrentAssetsMember
2022-12-31
0000789019
us-gaap:OtherCurrentAssetsMember
2022-06-30
0000789019
us-gaap:OtherNoncurrentAssetsMember
2022-12-31
0000789019
us-gaap:OtherNoncurrentAssetsMember
2022-06-30
0000789019
us-gaap:OtherCurrentLiabilitiesMember
2022-12-31
0000789019
us-gaap:OtherCurrentLiabilitiesMember
2022-06-30
0000789019
us-gaap:OtherNoncurrentLiabilitiesMember
2022-12-31
0000789019
us-gaap:OtherNoncurrentLiabilitiesMember
2022-06-30
0000789019
us-gaap:FairValueInputsLevel1Member
2022-12-31
0000789019
us-gaap:FairValueInputsLevel2Member
2022-12-31
0000789019
us-gaap:FairValueInputsLevel3Member
2022-12-31
0000789019
us-gaap:FairValueInputsLevel1Member
2022-06-30
0000789019
us-gaap:FairValueInputsLevel2Member
2022-06-30
0000789019
us-gaap:FairValueInputsLevel3Member
2022-06-30
0000789019
us-gaap:FairValueHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:InterestRateContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:InterestRateContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:InterestRateContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:FairValueHedgingMember
us-gaap:InterestRateContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:CashFlowHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:CashFlowHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:CashFlowHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:CashFlowHedgingMember
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:OtherContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:OtherContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:OtherContractMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:OtherContractMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:CashFlowHedgingMember
2022-10-01
2022-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:CashFlowHedgingMember
2021-10-01
2021-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:CashFlowHedgingMember
2022-07-01
2022-12-31
0000789019
us-gaap:ForeignExchangeContractMember
us-gaap:CashFlowHedgingMember
2021-07-01
2021-12-31
0000789019
msft:NuanceCommunicationsIncMember
2022-03-04
2022-03-04
0000789019
msft:NuanceCommunicationsIncMember
2022-03-04
0000789019
msft:NuanceCommunicationsIncMember
2022-03-04
0000789019
msft:NuanceCommunicationsIncMember
2022-03-04
2022-03-04
0000789019
us-gaap:CustomerRelationshipsMember
msft:NuanceCommunicationsIncMember
2022-03-04
0000789019
us-gaap:TechnologyBasedIntangibleAssetsMember
msft:NuanceCommunicationsIncMember
2022-03-04
0000789019
us-gaap:MarketingRelatedIntangibleAssetsMember
msft:NuanceCommunicationsIncMember
2022-03-04
0000789019
us-gaap:CustomerRelationshipsMember
msft:NuanceCommunicationsIncMember
2022-03-04
2022-03-04
0000789019
us-gaap:TechnologyBasedIntangibleAssetsMember
msft:NuanceCommunicationsIncMember
2022-03-04
2022-03-04
0000789019
us-gaap:MarketingRelatedIntangibleAssetsMember
msft:NuanceCommunicationsIncMember
2022-03-04
2022-03-04
0000789019
msft:ActivisionBlizzardIncMember
2022-01-18
2022-01-18
0000789019
msft:ActivisionBlizzardIncMember
2022-01-18
0000789019
msft:ProductivityAndBusinessProcessesMember
2022-06-30
0000789019
msft:IntelligentCloudMember
2022-06-30
0000789019
msft:MorePersonalComputingMember
2022-06-30
0000789019
msft:ProductivityAndBusinessProcessesMember
2022-07-01
2022-12-31
0000789019
msft:IntelligentCloudMember
2022-07-01
2022-12-31
0000789019
msft:MorePersonalComputingMember
2022-07-01
2022-12-31
0000789019
msft:ProductivityAndBusinessProcessesMember
2022-12-31
0000789019
msft:IntelligentCloudMember
2022-12-31
0000789019
msft:MorePersonalComputingMember
2022-12-31
0000789019
us-gaap:TechnologyBasedIntangibleAssetsMember
2022-12-31
0000789019
us-gaap:CustomerRelationshipsMember
2022-12-31
0000789019
us-gaap:MarketingRelatedIntangibleAssetsMember
2022-12-31
0000789019
us-gaap:ContractualRightsMember
2022-12-31
0000789019
us-gaap:TechnologyBasedIntangibleAssetsMember
2022-06-30
0000789019
us-gaap:CustomerRelationshipsMember
2022-06-30
0000789019
us-gaap:MarketingRelatedIntangibleAssetsMember
2022-06-30
0000789019
us-gaap:ContractualRightsMember
2022-06-30
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtFourMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtFiveMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtSixMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtSevenMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtEightMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtNineMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtTenMember
2022-07-01
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtElevenMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtFourMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtFiveMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtSixMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtSevenMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtEightMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtNineMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtTenMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtElevenMember
2022-07-01
2022-12-31
xbrli:pure
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtFourMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtFiveMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtSixMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtSevenMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtEightMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtNineMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtTenMember
2022-12-31
0000789019
srt:MinimumMember
msft:IssuanceOfLongTermDebtElevenMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtFourMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtFiveMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtSixMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtSevenMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtEightMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtNineMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtTenMember
2022-12-31
0000789019
srt:MaximumMember
msft:IssuanceOfLongTermDebtElevenMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtOneMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtTwoMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtThreeMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtFourMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtFiveMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtSixMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtSevenMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtEightMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtNineMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtTenMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtElevenMember
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtOneMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtTwoMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtThreeMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtFourMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtFiveMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtSixMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtSevenMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtEightMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtNineMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtTenMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtElevenMember
2022-06-30
0000789019
msft:IssuanceOfLongTermDebtOneMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtTwoMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtThreeMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtFourMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtFiveMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtSixMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtSevenMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtEightMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtNineMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtTenMember
2022-07-01
2022-12-31
0000789019
msft:IssuanceOfLongTermDebtElevenMember
2022-07-01
2022-12-31
iso4217:EUR
0000789019
msft:TransferOfIntangiblePropertiesMember
2021-07-01
2021-09-30
0000789019
msft:UnrecognizedTaxBenefitsAndOtherIncomeTaxLiabilitiesMember
2022-12-31
0000789019
msft:UnrecognizedTaxBenefitsAndOtherIncomeTaxLiabilitiesMember
2022-06-30
0000789019
us-gaap:EarliestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2010-07-01
2011-06-30
0000789019
us-gaap:LatestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2010-07-01
2011-06-30
0000789019
us-gaap:EarliestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2015-07-01
2016-06-30
0000789019
us-gaap:LatestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2015-07-01
2016-06-30
0000789019
us-gaap:EarliestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2017-07-01
2018-06-30
0000789019
us-gaap:LatestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2017-07-01
2018-06-30
0000789019
us-gaap:EarliestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2020-10-01
2020-12-31
0000789019
us-gaap:LatestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2020-10-01
2020-12-31
0000789019
us-gaap:InternalRevenueServiceIRSMember
2020-10-01
2020-12-31
0000789019
us-gaap:EarliestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2022-07-01
2022-12-31
0000789019
us-gaap:LatestTaxYearMember
us-gaap:InternalRevenueServiceIRSMember
2022-07-01
2022-12-31
0000789019
us-gaap:EarliestTaxYearMember
us-gaap:ForeignCountryMember
2022-07-01
2022-12-31
0000789019
us-gaap:LatestTaxYearMember
us-gaap:ForeignCountryMember
2022-07-01
2022-12-31
0000789019
msft:CommercialCustomersMember
2022-12-31
0000789019
2023-01-01
2022-12-31
0000789019
srt:MinimumMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
2022-07-01
2022-12-31
0000789019
srt:MaximumMember
2022-12-31
0000789019
msft:OperatingLeaseLiabilitiesMember
2022-12-31
0000789019
msft:OperatingLeaseLiabilitiesMember
2022-06-30
0000789019
msft:FinanceLeaseMember
2022-12-31
0000789019
msft:FinanceLeaseMember
2022-06-30
0000789019
msft:OperatingLeaseMember
2022-12-31
0000789019
srt:MinimumMember
2022-12-31
0000789019
msft:ShareRepurchaseProgramTwentyNineteenMember
2019-09-18
0000789019
msft:ShareRepurchaseProgramTwentyTwentyOneMember
2021-09-14
0000789019
msft:ShareRepurchaseProgramTwentyTwentyOneMember
2022-12-31
0000789019
msft:ShareRepurchaseProgramTwentyTwentyOneMember
2022-07-01
2022-09-30
0000789019
msft:ShareRepurchaseProgramTwentyTwentyOneMember
2022-10-01
2022-12-31
0000789019
msft:ShareRepurchaseProgramTwentyTwentyOneMember
2022-07-01
2022-12-31
0000789019
msft:ShareRepurchaseProgramTwentyNineteenMember
2021-07-01
2021-09-30
0000789019
msft:ShareRepurchaseProgramTwentyNineteenAndTwentyTwentyOneMember
2021-10-01
2021-12-31
0000789019
msft:ShareRepurchaseProgramTwentyNineteenAndTwentyTwentyOneMember
2021-07-01
2021-12-31
0000789019
2022-07-01
2022-09-30
0000789019
2021-07-01
2021-09-30
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2022-09-30
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2021-09-30
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2022-06-30
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2021-06-30
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2022-10-01
2022-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2021-10-01
2021-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2022-07-01
2022-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2021-07-01
2021-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2022-12-31
0000789019
us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember
2021-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2022-09-30
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2021-09-30
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2022-06-30
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2021-06-30
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2022-10-01
2022-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2021-10-01
2021-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2022-07-01
2022-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2021-07-01
2021-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
us-gaap:NonoperatingIncomeExpenseMember
2022-10-01
2022-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
us-gaap:NonoperatingIncomeExpenseMember
2021-10-01
2021-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
us-gaap:NonoperatingIncomeExpenseMember
2022-07-01
2022-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
us-gaap:NonoperatingIncomeExpenseMember
2021-07-01
2021-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2022-12-31
0000789019
us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember
2021-12-31
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2022-09-30
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2021-09-30
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2022-06-30
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2021-06-30
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2022-10-01
2022-12-31
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2021-10-01
2021-12-31
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2022-07-01
2022-12-31
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2021-07-01
2021-12-31
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2022-12-31
0000789019
msft:AccumulatedTranslationAdjustmentAndOtherMember
2021-12-31
0000789019
msft:ProductivityAndBusinessProcessesMember
2022-10-01
2022-12-31
0000789019
msft:ProductivityAndBusinessProcessesMember
2021-10-01
2021-12-31
0000789019
msft:ProductivityAndBusinessProcessesMember
2021-07-01
2021-12-31
0000789019
msft:IntelligentCloudMember
2022-10-01
2022-12-31
0000789019
msft:IntelligentCloudMember
2021-10-01
2021-12-31
0000789019
msft:IntelligentCloudMember
2021-07-01
2021-12-31
0000789019
msft:MorePersonalComputingMember
2022-10-01
2022-12-31
0000789019
msft:MorePersonalComputingMember
2021-10-01
2021-12-31
0000789019
msft:MorePersonalComputingMember
2021-07-01
2021-12-31
0000789019
country:US
2022-10-01
2022-12-31
0000789019
country:US
2021-10-01
2021-12-31
0000789019
country:US
2022-07-01
2022-12-31
0000789019
country:US
2021-07-01
2021-12-31
0000789019
us-gaap:NonUsMember
2022-10-01
2022-12-31
0000789019
us-gaap:NonUsMember
2021-10-01
2021-12-31
0000789019
us-gaap:NonUsMember
2022-07-01
2022-12-31
0000789019
us-gaap:NonUsMember
2021-07-01
2021-12-31
0000789019
msft:ServerProductsAndCloudServicesMember
2022-10-01
2022-12-31
0000789019
msft:ServerProductsAndCloudServicesMember
2021-10-01
2021-12-31
0000789019
msft:ServerProductsAndCloudServicesMember
2022-07-01
2022-12-31
0000789019
msft:ServerProductsAndCloudServicesMember
2021-07-01
2021-12-31
0000789019
msft:OfficeProductsAndCloudServicesMember
2022-10-01
2022-12-31
0000789019
msft:OfficeProductsAndCloudServicesMember
2021-10-01
2021-12-31
0000789019
msft:OfficeProductsAndCloudServicesMember
2022-07-01
2022-12-31
0000789019
msft:OfficeProductsAndCloudServicesMember
2021-07-01
2021-12-31
0000789019
msft:WindowsMember
2022-10-01
2022-12-31
0000789019
msft:WindowsMember
2021-10-01
2021-12-31
0000789019
msft:WindowsMember
2022-07-01
2022-12-31
0000789019
msft:WindowsMember
2021-07-01
2021-12-31
0000789019
msft:GamingMember
2022-10-01
2022-12-31
0000789019
msft:GamingMember
2021-10-01
2021-12-31
0000789019
msft:GamingMember
2022-07-01
2022-12-31
0000789019
msft:GamingMember
2021-07-01
2021-12-31
0000789019
msft:LinkedInCorporationMember
2022-10-01
2022-12-31
0000789019
msft:LinkedInCorporationMember
2021-10-01
2021-12-31
0000789019
msft:LinkedInCorporationMember
2022-07-01
2022-12-31
0000789019
msft:LinkedInCorporationMember
2021-07-01
2021-12-31
0000789019
msft:SearchAndNewsAdvertisingMember
2022-10-01
2022-12-31
0000789019
msft:SearchAndNewsAdvertisingMember
2021-10-01
2021-12-31
0000789019
msft:SearchAndNewsAdvertisingMember
2022-07-01
2022-12-31
0000789019
msft:SearchAndNewsAdvertisingMember
2021-07-01
2021-12-31
0000789019
msft:EnterpriseServicesMember
2022-10-01
2022-12-31
0000789019
msft:EnterpriseServicesMember
2021-10-01
2021-12-31
0000789019
msft:EnterpriseServicesMember
2022-07-01
2022-12-31
0000789019
msft:EnterpriseServicesMember
2021-07-01
2021-12-31
0000789019
msft:DevicesMember
2022-10-01
2022-12-31
0000789019
msft:DevicesMember
2021-10-01
2021-12-31
0000789019
msft:DevicesMember
2022-07-01
2022-12-31
0000789019
msft:DevicesMember
2021-07-01
2021-12-31
0000789019
msft:OtherProductsAndServicesMember
2022-10-01
2022-12-31
0000789019
msft:OtherProductsAndServicesMember
2021-10-01
2021-12-31
0000789019
msft:OtherProductsAndServicesMember
2022-07-01
2022-12-31
0000789019
msft:OtherProductsAndServicesMember
2021-07-01
2021-12-31
0000789019
msft:MicrosoftCloudMember
2022-10-01
2022-12-31
0000789019
msft:MicrosoftCloudMember
2022-07-01
2022-12-31
0000789019
msft:MicrosoftCloudMember
2021-07-01
2021-12-31
0000789019
msft:MicrosoftCloudMember
2021-10-01
2021-12-31
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
☒ |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|
|
|
|
|
For the Quarterly Period Ended December 31, 2022 |
|
|
|
OR |
|
|
☐ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|
|
|
|
|
For the Transition Period From to |
Commission File Number 001-37845
MICROSOFT CORPORATION
Washington |
|
91-1144442 |
(STATE OF INCORPORATION) |
|
(I.R.S. ID) |
ONE MICROSOFT WAY, REDMOND, Washington 98052-6399
(425) 882-8080
www.microsoft.com/investor
|
|
|
|
|
Securities registered pursuant to Section 12(b) of the Act: |
|
|
|
|
|
|
|
|
|
Title of each class |
|
Trading Symbol |
|
Name of exchange on which registered |
|
|
|
|
|
Common stock, $0.00000625 par value per share |
|
MSFT |
|
Nasdaq |
3.125% Notes due 2028 |
|
MSFT |
|
Nasdaq |
2.625% Notes due 2033 |
|
MSFT |
|
Nasdaq |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer ☒ |
|
Accelerated Filer ☐ |
Non-accelerated Filer ☐ |
|
Smaller Reporting Company ☐ |
|
|
Emerging Growth Company ☐ |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.
Class |
|
Outstanding as of January 19, 2023 |
|
|
|
|
|
|
|
|
Common Stock, $0.00000625 par value per share |
|
|
7,443,803,533 shares |
|
|
MICROSOFT CORPORATION
FORM 10-Q
For the Quarter Ended December 31, 2022
INDEX
2
PART I
Item 1
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
INCOME STATEMENTS
(In millions, except per share amounts) (Unaudited) |
|
Three Months Ended December 31, |
|
|
Six Months Ended December 31, |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2022 |
|
2021 |
|
|
2022 |
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Product |
|
$ |
16,517 |
|
$ |
20,779 |
|
$ |
32,258 |
|
$ |
37,410 |
|
|
Service and other |
|
|
36,230 |
|
|
30,949 |
|
|
70,611 |
|
|
59,635 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenue |
|
|
52,747 |
|
|
51,728 |
|
|
102,869 |
|
|
97,045 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Product |
|
|
5,690 |
|
|
6,331 |
|
|
9,992 |
|
|
10,123 |
|
|
Service and other |
|
|
11,798 |
|
|
10,629 |
|
|
22,948 |
|
|
20,483 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cost of revenue |
|
|
17,488 |
|
|
16,960 |
|
|
32,940 |
|
|
30,606 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross margin |
|
|
35,259 |
|
|
34,768 |
|
|
69,929 |
|
|
66,439 |
|
|
Research and development |
|
|
6,844 |
|
|
5,758 |
|
|
13,472 |
|
|
11,357 |
|
|
Sales and marketing |
|
|
5,679 |
|
|
5,379 |
|
|
10,805 |
|
|
9,926 |
|
|
General and administrative |
|
|
2,337 |
|
|
1,384 |
|
|
3,735 |
|
|
2,671 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income |
|
|
20,399 |
|
|
22,247 |
|
|
41,917 |
|
|
42,485 |
|
|
Other income (expense), net |
|
|
(60 |
) |
|
268 |
|
|
(6 |
) |
|
554 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income taxes |
|
|
20,339 |
|
|
22,515 |
|
|
41,911 |
|
|
43,039 |
|
|
Provision for income taxes |
|
|
3,914 |
|
|
3,750 |
|
|
7,930 |
|
|
3,769 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
16,425 |
|
$ |
18,765 |
|
$ |
33,981 |
|
$ |
39,270 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
2.20 |
|
$ |
2.50 |
|
$ |
4.56 |
|
$ |
5.23 |
|
|
Diluted |
|
$ |
2.20 |
|
$ |
2.48 |
|
$ |
4.54 |
|
$ |
5.19 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
7,451 |
|
|
7,505 |
|
|
7,454 |
|
|
7,509 |
|
|
Diluted |
|
|
7,473 |
|
|
7,555 |
|
|
7,479 |
|
|
7,561 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Refer to accompanying notes.
3
PART I
Item 1
COMPREHENSIVE INCOME STATEMENTS
(In millions) (Unaudited) |
|
Three Months Ended December 31, |
|
|
|
Six Months Ended December 31, |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2022 |
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
16,425 |
|
|
$ |
18,765 |
|
|
$ |
33,981 |
|
|
$ |
39,270 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income (loss), net of tax: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change related to derivatives |
|
|
(32 |
) |
|
|
0 |
|
|
|
(25 |
) |
|
|
2 |
|
|
Net change related to investments |
|
|
348 |
|
|
|
(743 |
) |
|
|
(1,549 |
) |
|
|
(1,165 |
) |
|
Translation adjustments and other |
|
|
570 |
|
|
|
(103 |
) |
|
|
(205 |
) |
|
|
(222 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income (loss) |
|
|
886 |
|
|
|
(846 |
) |
|
|
(1,779 |
) |
|
|
(1,385 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive income |
|
$ |
17,311 |
|
|
$ |
17,919 |
|
|
$ |
32,202 |
|
|
$ |
37,885 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Refer to accompanying notes.
4
PART I
Item 1
BALANCE SHEETS
(In millions) (Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
December 31,
2022 |
|
|
June 30, 2022 |
|
|
|
|
|
|
|
|
|
|
Assets |
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
15,646 |
|
|
$ |
13,931 |
|
Short-term investments |
|
|
83,862 |
|
|
|
90,826 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash, cash equivalents, and short-term investments |
|
|
99,508 |
|
|
|
104,757 |
|
Accounts receivable, net of allowance for doubtful accounts of $485 and $633 |
|
|
35,833 |
|
|
|
44,261 |
|
Inventories |
|
|
2,980 |
|
|
|
3,742 |
|
Other current assets |
|
|
19,502 |
|
|
|
16,924 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current assets |
|
|
157,823 |
|
|
|
169,684 |
|
Property and equipment, net of accumulated depreciation of $63,459 and $59,660 |
|
|
82,755 |
|
|
|
74,398 |
|
Operating lease right-of-use assets |
|
|
13,624 |
|
|
|
13,148 |
|
Equity investments |
|
|
7,097 |
|
|
|
6,891 |
|
Goodwill |
|
|
67,905 |
|
|
|
67,524 |
|
Intangible assets, net |
|
|
10,354 |
|
|
|
11,298 |
|
Other long-term assets |
|
|
24,994 |
|
|
|
21,897 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
$ |
364,552 |
|
|
$ |
364,840 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and stockholders’ equity |
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
15,354 |
|
|
$ |
19,000 |
|
Current portion of long-term debt |
|
|
3,997 |
|
|
|
2,749 |
|
Accrued compensation |
|
|
9,030 |
|
|
|
10,661 |
|
Short-term income taxes |
|
|
3,553 |
|
|
|
4,067 |
|
Short-term unearned revenue |
|
|
36,982 |
|
|
|
45,538 |
|
Other current liabilities |
|
|
12,802 |
|
|
|
13,067 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current liabilities |
|
|
81,718 |
|
|
|
95,082 |
|
Long-term debt |
|
|
44,119 |
|
|
|
47,032 |
|
Long-term income taxes |
|
|
24,169 |
|
|
|
26,069 |
|
Long-term unearned revenue |
|
|
2,644 |
|
|
|
2,870 |
|
Deferred income taxes |
|
|
289 |
|
|
|
230 |
|
Operating lease liabilities |
|
|
11,998 |
|
|
|
11,489 |
|
Other long-term liabilities |
|
|
16,479 |
|
|
|
15,526 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities |
|
|
181,416 |
|
|
|
198,298 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commitments and contingencies |
|
|
|
|
|
|
|
|
Stockholders’ equity: |
|
|
|
|
|
|
|
|
Common stock and paid-in capital – shares authorized 24,000; outstanding 7,447 and 7,464 |
|
|
90,225 |
|
|
|
86,939 |
|
Retained earnings |
|
|
99,368 |
|
|
|
84,281 |
|
Accumulated other comprehensive loss |
|
|
(6,457 |
) |
|
|
(4,678 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders’ equity |
|
|
183,136 |
|
|
|
166,542 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and stockholders’ equity |
|
$ |
364,552 |
|
|
$ |
364,840 |
|
|
|
|
|
|
|
|
|
|
Refer to accompanying notes.
5
PART I
Item 1
CASH FLOWS STATEMENTS
(In millions) (Unaudited) |
|
Three Months Ended
December 31, |
|
|
|
Six Months Ended
December 31, |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2022 |
|
|
2021 |
|
|
|
2022 |
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
Operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
16,425 |
|
|
$ |
18,765 |
|
|
$ |
33,981 |
|
|
$ |
39,270 |
|
Adjustments to reconcile net income to net cash from operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, amortization, and other |
|
|
3,648 |
|
|
|
3,496 |
|
|
|
6,438 |
|
|
|
6,708 |
|
Stock-based compensation expense |
|
|
2,538 |
|
|
|
1,897 |
|
|
|
4,730 |
|
|
|
3,599 |
|
Net recognized losses (gains) on investments and derivatives |
|
|
214 |
|
|
|
(307 |
) |
|
|
192 |
|
|
|
(671 |
) |
Deferred income taxes |
|
|
(1,305 |
) |
|
|
183 |
|
|
|
(2,496 |
) |
|
|
(5,787 |
) |
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts receivable |
|
|
(3,164 |
) |
|
|
(5,543 |
) |
|
|
8,565 |
|
|
|
4,943 |
|
Inventories |
|
|
1,305 |
|
|
|
394 |
|
|
|
762 |
|
|
|
(383 |
) |
Other current assets |
|
|
(392 |
) |
|
|
830 |
|
|
|
(724 |
) |
|
|
1,770 |
|
Other long-term assets |
|
|
(65 |
) |
|
|
(908 |
) |
|
|
(731 |
) |
|
|
(1,506 |
) |
Accounts payable |
|
|
(2,058 |
) |
|
|
235 |
|
|
|
(3,625 |
) |
|
|
(236 |
) |
Unearned revenue |
|
|
(5,186 |
) |
|
|
(4,343 |
) |
|
|
(8,508 |
) |
|
|
(7,228 |
) |
Income taxes |
|
|
(2,863 |
) |
|
|
(2,057 |
) |
|
|
(2,453 |
) |
|
|
596 |
|
Other current liabilities |
|
|
1,819 |
|
|
|
1,745 |
|
|
|
(2,205 |
) |
|
|
(2,398 |
) |
Other long-term liabilities |
|
|
257 |
|
|
|
93 |
|
|
|
445 |
|
|
|
343 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash from operations |
|
|
11,173 |
|
|
|
14,480 |
|
|
|
34,371 |
|
|
|
39,020 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financing |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Repayments of debt |
|
|
(750 |
) |
|
|
0 |
|
|
|
(1,750 |
) |
|
|
(4,826 |
) |
Common stock issued |
|
|
243 |
|
|
|
291 |
|
|
|
818 |
|
|
|
903 |
|
Common stock repurchased |
|
|
(5,459 |
) |
|
|
(7,433 |
) |
|
|
(11,032 |
) |
|
|
(15,117 |
) |
Common stock cash dividends paid |
|
|
(5,066 |
) |
|
|
(4,652 |
) |
|
|
(9,687 |
) |
|
|
(8,858 |
) |
Other, net |
|
|
(317 |
) |
|
|
(192 |
) |
|
|
(581 |
) |
|
|
(364 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used in financing |
|
|
(11,349 |
) |
|
|
(11,986 |
) |
|
|
(22,232 |
) |
|
|
(28,262 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to property and equipment |
|
|
(6,274 |
) |
|
|
(5,865 |
) |
|
|
(12,557 |
) |
|
|
(11,675 |
) |
Acquisition of companies, net of cash acquired, and purchases of intangible and other assets |
|
|
(679 |
) |
|
|
(850 |
) |
|
|
(1,028 |
) |
|
|
(2,056 |
) |
Purchases of investments |
|
|
(11,599 |
) |
|
|
(2,505 |
) |
|
|
(16,612 |
) |
|
|
(12,814 |
) |
Maturities of investments |
|
|
6,928 |
|
|
|
5,253 |
|
|
|
13,590 |
|
|
|
14,115 |
|
Sales of investments |
|
|
4,775 |
|
|
|
2,895 |
|
|
|
7,486 |
|
|
|
8,525 |
|
Other, net |
|
|
(301 |
) |
|
|
(89 |
) |
|
|
(1,161 |
) |
|
|
(506 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used in investing |
|
|
(7,150 |
) |
|
|
(1,161 |
) |
|
|
(10,282 |
) |
|
|
(4,411 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of foreign exchange rates on cash and cash equivalents |
|
|
88 |
|
|
|
106 |
|
|
|
(142 |
) |
|
|
33 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in cash and cash equivalents |
|
|
(7,238 |
) |
|
|
1,439 |
|
|
|
1,715 |
|
|
|
6,380 |
|
Cash and cash equivalents, beginning of period |
|
|
22,884 |
|
|
|
19,165 |
|
|
|
13,931 |
|
|
|
14,224 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents, end of period |
|
$ |
15,646 |
|
|
$ |
20,604 |
|
|
$ |
15,646 |
|
|
$ |
20,604 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Refer to accompanying notes.
6
PART I
Item 1
STOCKHOLDERS’ EQUITY STATEMENTS
(In millions, except per share amounts) (Unaudited) |
|
Three Months Ended
December 31, |
|
|
|
Six Months Ended
December 31, |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|