NEW YORK: Microsoft on Thursday became only the second company in history to surpass a $4-trillion market capitalisation, driven by a surge in its share price following strong quarterly results.
While Microsoft hit this milestone, chip manufacturer Nvidia remains the market leader with a valuation of around $4.4 trillion.
Shares of Microsoft rose as much as 5 per cent during early US trading, buoyed by robust growth in artificial intelligence and cloud services.
The company's growth accelerated once again in its fourth fiscal quarter, which ended in June. The results were published on Wednesday. In the quarter, revenue climbed 18 per cent to just over $76 billion, while profit jumped nearly 25 per cent to $27 billion.
Mark Murphy of JPMorgan highlighted that Microsoft's software and services have become essential for many businesses, with customers responding very positively to its products.
For the 2024-25 financial year, Microsoft posted nearly $102 billion in profit, a 16-per cent increase over the previous year. Revenue rose 15 per cent to $282 billion, both figures significantly exceeding analysts' expectations. — dpa
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