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Online Tech Guru > Gaming > Xbox content and services revenue up 13% year-on-year
Gaming

Xbox content and services revenue up 13% year-on-year

News Room
Last updated: 31 July 2025 11:21
By News Room 3 Min Read
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Microsoft has released its financial results for Q4 of its fiscal year 2025, showing solid growth in gaming revenue and Xbox content and services.

The numbers

For the three months ended June 30, 2025:

  • Revenue: $76.4 billion (up 18% year-on-year)
  • Net income: $27.2 billion (up 24% year-on-year)
  • More Personal Computing (incl. Xbox) revenue: $13.5 billion (up 9% year-on-year)

The highlights

It was a strong close to what Microsoft CEO Satya Nadella called, during the earnings call, “a record fiscal year” for the company.

This is largely due to Microsoft’s cloud services. “We closed out the fiscal year with a strong quarter, highlighted by Microsoft Cloud revenue reaching $46.7 billion, up 27% (up 25% in constant currency) year-over-year,” said Amy Hood, executive vice president and CFO of Microsoft.

Microsoft also revealed that Microsoft Fabric, its cloud-based data platform, is “the fastest-growing database product” in the company’s history, with revenue up 55% YoY.

Gaming revenue also continues to grow, up 10% YoY, while Xbox content and services revenue is up 13% YoY. Hood stated the growth is “driven by better-than-expected performance from first-party content and Xbox Game Pass.”

Nadella also revealed that Microsoft is the top publisher on Xbox and PlayStation this quarter, following the launches of Forza Horizon 5 and Oblivion Remastered on PlayStation 5.

Earlier this week, we reported that six of PlayStation’s 10 biggest-selling games in Q2 2025 were published by Microsoft, with Indiana Jones and the Great Circle, Minecraft, Doom: The Dark Ages, Call of Duty: Black Ops 6, Forza Horizon 5, and Oblivion Remastered among the top-sellers on PlayStation consoles.

Nadella went on to explain that 50 million people played Call of Duty: Black Ops 6 (with total hours surpassing two billion), while the release of A Minecraft Movie in April contributed to record monthly active usage and revenue for Mojang Studios’ Minecraft.

While Microsoft didn’t delve too deeply into Game Pass details, Nadella revealed the subscription service’s annual revenue was nearly $5 billion “for the first time.”

Looking ahead, Nadella revealed Microsoft has “nearly 40 games in development,” but Amy Hood explained that the company expects gaming revenue to decline in the “mid-to-high single digits” in the next quarter, and Xbox content and services to decline “in the mid-single digits” in comparison to a strong 2025.

It’s been a positive financial year for Microsoft, though the company didn’t address its shuttering of numerous game studios or the layoffs of thousands of staff from its gaming division throughout this year in the earnings call or release.

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