SAN FRANCISCO -- Microsoft on Wednesday posted a revenue of $65.6 billion for the first quarter of its 2025 fiscal year ending Sept 30, 2024, up 16 percent from the same period of the previous year.

The company generated quarterly net profits of $24.7 billion, an increase of 11 percent year-on-year. Diluted earnings per share were $3.3, up 10 percent, compared to the same period a year ago.

Its operating income was $30.6 billion, an increase of 14 percent from the same period last year, Microsoft said in its financial report.

The company's revenue in Productivity and Business Processes was $28.3 billion, an increase of 12 percent; its revenue in Intelligent Cloud was $24.1 billion, up 20 percent; and its revenue in More Personal Computing was $13.2 billion, increasing 17 percent.

Microsoft returned $9.0 billion to shareholders in the form of share repurchases and dividends in the first quarter of fiscal 2025.

"AI-driven transformation is changing work, work artifacts, and workflow across every role, function, and business process," said Satya Nadella, chairman and chief executive officer of Microsoft. "We are expanding our opportunity and winning new customers as we help them apply our AI platforms and tools to drive new growth and operating leverage."

"Strong execution by our sales teams and partners delivered a solid start to our fiscal year with Microsoft Cloud revenue of $38.9 billion, up 22 percent year-over-year," said Amy Hood, executive vice-president and chief financial officer of Microsoft.