{
  "finance_reading_guide": [
    "STEP 1 / IDENTIFY THE COMPARISON: confirm Microsoft, the June 30 fiscal year-end and the snapshot date. These figures are a fixed source snapshot, not a live data feed.",
    "STEP 2 / CHECK THE SOURCE AND UNITS: use the annual-report and SEC links to trace the reported figures. All amounts below are USD millions, so 1,000 represents USD 1 billion.",
    "STEP 3 / REBUILD OPERATING PROFIT: subtract cost of revenue from revenue for gross profit; then deduct R&D, selling and marketing, and general and administrative expense. The answer must match reported operating income.",
    "STEP 4 / REVIEW CASH AFTER INVESTMENT: subtract cash additions to property and equipment from operating cash flow. This analyst-defined free cash flow proxy is different from operating profit or EBITDA.",
    "STEP 5 / COMPARE YEARS: use margins, capital spending as a share of sales and year-over-year movements to assess whether sales growth also produces profit and cash. The first comparison year has no prior year in this dataset."
  ],
  "company": "Microsoft Corporation",
  "ticker": "MSFT",
  "fiscal_year_end": "June 30",
  "as_of": "2026-10-23",
  "source_document": "Microsoft fiscal 2026 Form 10-K / FY2026 annual report",
  "source_url": "https://www.microsoft.com/investor/reports/ar26/index.html",
  "sec_10k_url": "https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm",
  "units": "USD millions",
  "notes": [
    "Snapshot transcribed from the consolidated FY2026 income and cash flow statements; figures are not automatically refreshed.",
    "Gross profit = revenue - cost of revenue. Operating income = gross profit - R&D - selling and marketing - general and administrative expenses.",
    "Analyst-defined FCF = net cash from operations - positive cash additions to property and equipment; other capital commitments, acquisitions and finance leases are not included in this proxy.",
    "Free cash flow and the ratios calculated here are analytical / non-GAAP measures. No investment recommendation is implied."
  ],
  "field_definitions": {
    "year": "Fiscal year ended June 30; this is not the calendar year.",
    "revenue": "Reported sales, used as the starting point for the P&L and the denominator for margins.",
    "cost_of_revenue": "Reported direct cost of sales; deduct it from revenue to calculate gross profit.",
    "research_development": "Reported research and development expense; deduct it in the operating-profit reconciliation.",
    "sales_marketing": "Reported selling and marketing expense; deduct it in the operating-profit reconciliation.",
    "general_admin": "Reported general and administrative expense; deduct it in the operating-profit reconciliation.",
    "operating_income": "Reported operating profit. Keep this source figure as an independent check on the rebuilt P&L; it is not EBITDA.",
    "cash_from_operations": "Reported operating cash flow, including working-capital movements; this is a cash measure, not an earnings subtotal.",
    "property_equipment_additions": "Cash capital spending shown here as a positive amount; subtract it from operating cash flow for the FCF proxy."
  },
  "financials": [
    {
      "year": 2024,
      "revenue": 245122,
      "cost_of_revenue": 74114,
      "research_development": 29510,
      "sales_marketing": 24456,
      "general_admin": 7609,
      "operating_income": 109433,
      "cash_from_operations": 118548,
      "property_equipment_additions": 44477
    },
    {
      "year": 2025,
      "revenue": 281724,
      "cost_of_revenue": 87831,
      "research_development": 32488,
      "sales_marketing": 25654,
      "general_admin": 7223,
      "operating_income": 128528,
      "cash_from_operations": 136162,
      "property_equipment_additions": 64551
    },
    {
      "year": 2026,
      "revenue": 331839,
      "cost_of_revenue": 106374,
      "research_development": 35562,
      "sales_marketing": 26710,
      "general_admin": 7956,
      "operating_income": 155237,
      "cash_from_operations": 182935,
      "property_equipment_additions": 115948
    }
  ]
}