Flagship explainer

How MICROSOFT CORPORATION makes its money

Start with a dollar of revenue and follow what the filing says remains.

revenueBranching filed flows with values and percentages directly labeled. Missing filing concepts are omitted rather than estimated.Revenue$281.7B · 100%Cost of revenue$87.8B · 31%Gross profit$193.9B · 69%Operating income$128.5B · 46%Income before tax$123.6B · 44%Income tax$21.8B · 8%Net income$101.8B · 36%As of 2025-06-30 · 2 SEC filing sourcesBuy Like Buffett · buylikebuffett.com

Honest partial: the filing did not provide a normalized tag for Research and development, Selling, general and administrative; those components are omitted, not plugged.

Table alternative
Filed lineValue% of revenueSource
$281.7B100%
Cost of revenue$87.8B31%
$193.9B69%
$128.5B46%
Income before tax$123.6B44%
Income tax$21.8B8%
$101.8B36%
Source: · event Jun 30, 2025 · retrieved Jul 26, 2026 · annual-row source set
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