Microsoft Excel LibreOffice Calc

Microsoft Corp. (MSFT)


Income Statement

Beginner level

The income statement presents information on the financial results of a company’s business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

Microsoft Corp., consolidated income statement

US$ in millions

Microsoft Excel LibreOffice Calc
12 months ended Jun 30, 2019 Jun 30, 2018 Jun 30, 2017 Jun 30, 2016 Jun 30, 2015 Jun 30, 2014
Product 66,069  64,497  57,190  61,502  75,956  72,948 
Service and other 59,774  45,863  32,760  23,818  17,624  13,885 
Revenue 125,843  110,360  89,950  85,320  93,580  86,833 
Product (16,273) (15,420) (15,175) (17,880) (21,410) (16,681)
Service and other (26,637) (22,933) (19,086) (14,900) (11,628) (10,397)
Cost of revenue (42,910) (38,353) (34,261) (32,780) (33,038) (27,078)
Gross margin 82,933  72,007  55,689  52,540  60,542  59,755 
Research and development (16,876) (14,726) (13,037) (11,988) (12,046) (11,381)
Sales and marketing (18,213) (17,469) (15,539) (14,697) (15,713) (15,811)
General and administrative (4,885) (4,754) (4,481) (4,563) (4,611) (4,677)
Goodwill impairment —  —  —  —  (5,100) — 
Impairment and restructuring —  —  (306) (1,110) (4,911) (127)
Operating income 42,959  35,058  22,326  20,182  18,161  27,759 
Interest and dividends income 2,762  2,214  1,387  903  766  883 
Interest expense (2,686) (2,733) (2,222) (1,243) (781) (597)
Net recognized gains on investments 648  2,399  2,583  668  716  437 
Net gains (losses) on derivatives 144  (187) (510) (443) (423) (328)
Net gains (losses) on foreign currency remeasurements (82) (218) (164) (121) 335  (165)
Other, net (57) (59) (251) (195) (267) (169)
Other income (expense), net 729  1,416  823  (431) 346  61 
Income before income taxes 43,688  36,474  23,149  19,751  18,507  27,820 
Provision for income taxes (4,448) (19,903) (1,945) (2,953) (6,314) (5,746)
Net income 39,240  16,571  21,204  16,798  12,193  22,074 

Based on: 10-K (filing date: 2019-08-01), 10-K (filing date: 2018-08-03), 10-K (filing date: 2017-08-02), 10-K (filing date: 2016-07-28), 10-K (filing date: 2015-07-31), 10-K (filing date: 2014-07-31).

Income statement item Description The company
Revenue Amount, including tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value-added and excise. Microsoft Corp.’s revenue increased from 2017 to 2018 and from 2018 to 2019.
Operating income The net result for the period of deducting operating expenses from operating revenues. Microsoft Corp.’s operating income increased from 2017 to 2018 and from 2018 to 2019.
Income before income taxes Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest. Microsoft Corp.’s income before income taxes increased from 2017 to 2018 and from 2018 to 2019.
Net income The portion of profit or loss for the period, net of income taxes, which is attributable to the parent. Microsoft Corp.’s net income decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.