UPDATE—Oct. 30, 2024: This article has been updated to reflect more recent analyst estimates and share price information.

Microsoft (MSFT) is set to report fiscal first-quarter earnings results after markets close Wednesday, with investors likely to be watching growth in the company's Azure cloud computing platform.

Analysts expect revenue to jump 14% year-over-year to $64.47 billion. Net income is projected to land at $23.21 billion or $3.11 per share, up from $22.29 billion or $2.99 per share a year earlier.

Key Metric: Cloud Growth

In the 澳洲幸运5官方开奖结果体彩网:prior quarter, Microsoft reported cloud revenue of $36.8 billion, up 21% year-over-year, but short of the $37.2 billion 澳洲幸运5官方开奖结果体彩网:analysts expected. Microsoft's Intelligent Cloud segment, which houses Azure, accounted for $28.5 billion in revenue, driven by a 29% jump in revenue from Azure and other services.

Deutsche Bank analysts said they expect Azure to post a percentage in the low-to-mid 30s for the fiscal first quarter, adding Microsoft “needs to deliver Azure outperformance and guidance for little if any deceleration” in order to satisfy investors' lofty expectations.

Business Spotlight: 🐻Artificial Intelligence Spending

Microsoft told investors when it reported earnings in July that it would 澳洲幸运5官方开奖结果体彩网:raise its investment in 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI) infrastructure in order to meet AI demand. Worries about whether M🐟icrosoft's higher spending will pay off w🅷eighed on the company's stock price in the wake of the report.

Goldman Sachs analysts said they view Microsoft's buildout as a "necessary investment ahead of the structural shift to Gen-AI, which is likely to present a vast revenue opportunity across all layers of the AI technology stack."

Microsoft announced several new AI-related features and initiatives in recent weeks, including 澳洲幸运5官方开奖结果体彩网:upgrades to its Copiꦦlot AI assistant and 澳洲幸运5官方开奖结果体彩网:autonomous AI agents for Copilot.

Shares of Microsoft have gained over 16% since the start of the year, at $437.82 in early trading Wednesday ahead of the company's earnings release.