Microsoft Corporation logo
Microsoft Corporation (MSFT)
Compare

Microsoft Corporation (MSFT) EBITDA Margin: 56.85%

Is Microsoft Corporation’s ebitda margin high or low?

Microsoft Corporation's ebitda margin of 56.85% is 10% above its 5-year average of 51.63%, near the high end of its 5-year range (47.84%–56.85%).

The ebitda margin for Microsoft Corporation (MSFT) is 56.85% as of Tuesday, June 9, 2026. It is above its 12-month average by 2.33% (55.55%).

MSFT EBITDA Margin Chart

MSFT EBITDA Margin
56.85%+4.77% 1Y
Zoom

MSFT Average EBITDA Margin Chart

MSFT Current vs Average EBITDA Margin Chart

MSFT EBITDA Margin Metrics

EBITDA MARGIN

56.85%

EBITDA MARGIN AVG TTM

55.55%

EBITDA MARGIN AVG 3Y

52.82%

EBITDA MARGIN AVG 5Y

51.63%

EBITDA MARGIN AVG 10Y

46.07%

EBITDA MARGIN AVG 15Y

44.34%

EBITDA MARGIN AVG 20Y

43.22%

CURRENT VS TTM AVG

+2.33%

CURRENT VS 3Y AVG

+7.63%

CURRENT VS 5Y AVG

+10.11%

CURRENT VS 10Y AVG

+23.39%

CURRENT VS 15Y AVG

+28.21%

CURRENT VS 20Y AVG

+31.53%

MSFT Competitors' EBITDA Margin

NAMEMARKET CAPEBITDA MARGINTTM3Y5Y
Microsoft Corporation (MSFT)56.85%55.55%52.82%51.63%
Apple Inc. (AAPL)$4.27T34.70%34.61%34.31%34.07%
Alphabet Inc. (GOOGL)$4.41T44.66%41.67%36.33%36.57%
Amazon.com, Inc. (AMZN)$2.63T23.06%21.23%16.37%15.75%
Oracle Corporation (ORCL)$591.83B41.66%41.03%37.86%40.08%
Salesforce, Inc. (CRM)$143.61B31.67%30.54%26.38%22.59%

Margin Comparison

Gross Margin

68.8%

EBITDA Margin

56.9%

Operating Margin

45.6%

Net Margin

36.1%

Formula: EBITDA Margin = (EBITDA / Revenue) × 100

Why EBITDA Margin matters:

  • Removes effects of depreciation policies (D&A)
  • Capital structure neutral (ignores interest)
  • Tax neutral (ignores tax differences)
  • Good proxy for operating cash generation

Microsoft Corporation EBITDA Margin Formula & Definition

EBITDA Margin = EBITDA / Revenue

EBITDA margin measures operating profitability before interest, taxes, depreciation, and amortization as a percentage of revenue.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Microsoft Corporation EBITDA Margin FAQ

What is the ebitda margin for Microsoft Corporation (MSFT)?
The ebitda margin for MSFT stock is 56.85%.
Is Microsoft Corporation's ebitda margin high or low?
Microsoft Corporation's ebitda margin of 56.85% is 10% above its 5-year average of 51.63%, near the high end of its 5-year range (47.84%–56.85%).
What is the TTM average ebitda margin for Microsoft Corporation (MSFT)?
The TTM average ebitda margin for MSFT stock is 55.55%.
What is the 3Y average ebitda margin for Microsoft Corporation (MSFT)?
The 3Y average ebitda margin for MSFT stock is 52.82%.
What is the 5Y average ebitda margin for Microsoft Corporation (MSFT)?
The 5Y average ebitda margin for MSFT stock is 51.63%.
What is the 10Y average ebitda margin for Microsoft Corporation (MSFT)?
The 10Y average ebitda margin for MSFT stock is 46.07%.
What is the 15Y average ebitda margin for Microsoft Corporation (MSFT)?
The 15Y average ebitda margin for MSFT stock is 44.34%.
What is the 20Y average ebitda margin for Microsoft Corporation (MSFT)?
The 20Y average ebitda margin for MSFT stock is 43.22%.

Microsoft Corporation EBITDA Margin History

DATEEBITDA MARGIN
2025-06-3056.85%
2024-06-3054.26%
2023-06-3049.61%
2022-06-3050.56%
2021-06-3050.65%
2020-06-3047.84%
2019-06-3046.13%
2018-06-3044.82%
2017-06-3042.35%
2016-06-3036.76%
2015-06-3026.98%
2014-06-3038.73%
2013-06-3040.12%
2012-06-3034.74%
2011-06-3044.51%
2010-06-3044.55%
2009-06-3038.37%
2008-06-3042.99%
2007-06-3038.88%
2006-06-3039.24%
2005-06-3038.75%
2004-06-3027.75%
2003-06-3033.98%
2002-06-3045.81%
2001-06-3052.40%
2000-06-3053.39%
1999-06-3055.97%
1998-06-3050.67%
1997-06-3045.48%
1996-06-3041.03%