Compare · AAPL and MSFT
Apple vs. Microsoft
Revenue, growth, margins, cash flow and cash returned, side by side from each company's latest annual report.
Apple sells smartphones, computers, tablets and wearables it designs, plus services that run on them. Microsoft sells software and cloud services, from Microsoft 365 and Azure to Windows, Surface devices and gaming. Below are the figures each one reported in its latest annual report (Form 10-K), side by side, with links to the filing behind every number. Microsoft's fiscal year ends on June 30 and Apple's on September 27, so the two years overlap by three months. Why fiscal years differ.
Comparing Apple fiscal 2025 (ended Sep 27, 2025) with Microsoft fiscal 2026 (ended Jun 30, 2026)
AppleMicrosoft
Each pair of bars shows both companies on one scale. Their fiscal years end on different dates, so the periods overlap but aren't identical.
Revenue and growth
| Company | Prior year | Latest year | Change |
|---|---|---|---|
| Apple (FY2024 to FY2025) | $391.0B | $416.2B | +6.4% |
| Microsoft (FY2025 to FY2026) | $281.7B | $331.8B | +17.8% |
Apple reports net sales: what customers paid for products and services, after returns and discounts. Microsoft reports revenue: total revenue from products and services.
Margins
| Company | Revenue | Operating income | Operating margin | Net income | Net margin |
|---|---|---|---|---|---|
| Apple FY2025 | $416.2B | $133.1B | 32.0% | $112.0B | 26.9% |
| Microsoft FY2026 | $331.8B | $155.2B | 46.8% | $133.7B | 40.3% |
Margin is the profit line divided by revenue, worked out by Ticker Sage from the linked figures. What profit margins measure.
Cash flow and cash returned
| Company | Cash from operations | Capital spending | Free cash flow | Buybacks | Dividends paid |
|---|---|---|---|---|---|
| Apple FY2025 | $111.5B | $12.7B | $98.8B | $90.7B | $15.4B |
| Microsoft FY2026 | $182.9B | $115.9B | $67.0B | $22.3B | $26.4B |
Capital spending is property and equipment for both companies, as each company labels it in the cash flow statement. Free cash flow isn't a GAAP line; Ticker Sage works it out the same way for both. How free cash flow works · How buybacks work · How dividends work.
How each one makes money
Apple
Apple designs, manufactures (through outsourcing partners, mostly outside the US) and sells smartphones, personal computers, tablets, wearables and accessories, plus a range of services that run on those devices.
Its fiscal year ends on the last Saturday of September, so FY2025 means the twelve months to Sep 27, 2025.
Microsoft
Microsoft reports three segments. Productivity and Business Processes is mainly Microsoft 365 (Office, Teams and related cloud services) for businesses and consumers, plus LinkedIn and Dynamics business software. Intelligent Cloud is mainly Azure and other cloud services, server software such as SQL Server and Windows Server, and enterprise support. More Personal Computing covers Windows, devices such as Surface, gaming (Xbox) and search and news advertising (Bing).
Its fiscal year ends on June 30, so FY2026 means the twelve months to Jun 30, 2026.
Main risks each one lists
Apple
- Sales depend on consumer spending around the world, so a downturn, trade disputes, tariffs, conflicts or natural disasters can hit demand and the supply chain.
- Its markets are crowded and change fast. Apple has to keep launching new products on time, and competitors often sell at lower prices.
- Most manufacturing is done by outside partners, many in a few locations outside the US, and some parts come from single or limited sources.
- The value of its devices depends partly on third-party apps and media; losing developer support or content deals would hurt.
- Apple faces lawsuits, government investigations and fast-changing rules (including on app stores, competition, privacy and data) in many countries, which can bring fines or force changes to how it does business.
Microsoft
- It competes in every business with large and small rivals, including free and open-source products, and shifts such as AI could change which platforms customers choose.
- It is investing heavily in data centers, AI and new products, which may not earn the returns it expects and can lower operating margins.
- Cyberattacks on its systems or products, or misuse of customer data, could harm customers, its reputation and results.
- Building and offering AI brings legal, ethical, reputational and technical issues of its own.
- Its online services depend on data centers, power, network capacity and components that can be scarce or disrupted.
How they differ
- Size. Apple reported $416.2B of revenue for fiscal 2025, and Microsoft $331.8B for fiscal 2026.
- Growth. Apple's revenue grew 6.4% in its latest year and Microsoft's 17.8%.
- Margins. Microsoft kept 40.3% of revenue as net income and Apple 26.9%.
- Fiscal calendar. Microsoft's year ends in June, Apple's in September, so news in one company's latest 10-K can be up to nine months newer than in the other's.
- What they sell. Apple's products are made by outsourcing partners, mostly outside the US. Microsoft reports three segments: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing.
- Risks they list. Microsoft lists heavy investment in data centers and AI among its risks. Apple lists its reliance on outside manufacturing partners, many in a few locations.
- Where the money goes. In the latest year Microsoft spent $22.3B on buybacks and $26.4B on dividends, and Apple $90.7B and $15.4B.
Differences in size, growth or margin describe the past year only. None of this says which business will do better.
Sources
- Apple Form 10-K for fiscal 2025, filed Oct 31, 2025
- Microsoft Form 10-K for fiscal 2026, filed Jul 29, 2026
Apple company file → · Microsoft company file →
Common questions
Which is bigger by revenue, Microsoft or Apple?
Apple reported $416.2B of revenue for fiscal 2025 and Microsoft $331.8B for fiscal 2026. Their fiscal years end on different dates.
Does Apple make its own devices?
Not in its own factories. Apple's 10-K says manufacturing is done by outsourcing partners, mostly outside the US.
How do their profit margins compare?
In the latest fiscal year Microsoft's net margin was 40.3% and Apple's was 26.9%, worked out from the net income and revenue in each 10-K.
Where do these numbers come from?
From each company's latest Form 10-K filed with the SEC. Every figure on this page links to the filing it came from.
Disclosures
- Editor holdings
- The editor holds no position in any company named on this page. As of Oct 25, 2026.
- Compensation
- Nobody paid for this page. No affiliate links on this page.
- Sources
- Each company's own SEC filings, linked next to each number.
- Last updated
- Oct 26, 2026
General education, the same for every reader. Not a recommendation to buy, sell or hold any security, and it doesn't consider your situation.
More in Learn · Methodology & Disclosures explains where every number comes from.