Earnings per share were $4.27 during the quarter, compared with the $4.06 analysts expected on average, according to research firm LSEG, CNBC reports.
Revenue came in at $82.9 billion, better than the $81.4 billion expected, according to LSEG.
Sales of the Azure cloud service increased 40 percent, slightly better than analysts expected.
The company's annual revenue from AI now stands at $37 billion, an increase of 123 percent.
Despite this, the stock fell in after-hours trading on the New York Stock Exchange and was down 2.7 percent just over half an hour after the report was released.
