Reported this week, Microsoft's (MSFT)'s revenue in its fourth quarter of 2014 hit $23.38 billion, up from $20.40 billion the previous sequential quarter and up from $19.9 billion for the same quarter a year ago. This revenue includes $2 billion from the Nokia Devices and Services business. Microsoft completed its acquisition of Nokia in April 2014.  The tech giant also reported a net income of $4.6 billion in its fourth quarter, which ended on June 30, compared to net income of just under $5 billion for the same quarter last year.

Microsoft reported that its commercial cloud revenue hit an annualized run rate that exceeds $4.4 billion. The company's overall commercial cloud segment experienced 7 percent growth during the prior quarter.

"I’m proud that our aggressive move to the cloud is paying off," Microsoft CEO Satya Nadella said in a prepared statement.

Microsoft COO Kevin Turner noted in a statement that both Office 365 and Azure grew more than 100 percent this quarter. (This what the company noted in the previous quarter, too.)

For Microsoft's fiscal year 2014, the tech giant reported $22.07 billion in net income on revenue of $86.83 billion. The company's new fiscal year began on July 1. That compares to net income of $21.9 billion on revenue of $77.9 billion for the previous year.

Microsoft also seems to be rediscovering the channel in the cloud by enabling partners to sell Microsoft Office 365 along with other cloud application terms under one bill through a new program.

Microsoft's earnings report was released following its announcement that it would fire up to 18,000 employees.

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