"We are seeing lots of consumer excitement for Xbox One, Surface 2 and Surface Pro 2, and the full spectrum of Windows 8.1 and Windows Phone devices," Microsoft CEO Steve Ballmer said in a statement.
Net income rose 17 percent to $5.24 billion, or 62 cents a share, in the fiscal first-quarter from $4.47 billion, or 53 cents a share, in the year-earlier period.
Revenue increased 16 percent to $18.53 billion from $16.01 billion a year ago.
Analysts had expected the software behemoth to report earnings excluding items of 54 cents a share on $17.79 billion in revenue, according to a consensus estimate from Thomson Reuters.
Commercial revenue grew 10 percent to $11.20 billion, which include revenue from SQL Server, Lync, SharePoint and commercial cloud. Devices and Consumer revenue grew 4 percent to $7.46 billion, the company said in a statement.
—Reuters contributed to this report.