Microsoft (MSFT) reported higher quarterly adjusted revenue, driven mainly by growth in the company’s cloud business.
The company’s shares jumped 3.5% to $54.91 in extended trading on Tuesday.
Revenue in the cloud business, which includes the Azure cloud platform as well as products related to server software, rose 7% to $6.7 billion.
Subscribe to Data Sheet, Fortune’s daily newsletter on the business of technology.
Under the leadership of Satya Nadella, the software behemoth has focused on the building the company’s expertise in cloud-based services amid slowing PC sales.
Nadella, who took the helm in early 2014, oversaw the company’s largest-ever deal last month when it acquired LinkedIn (LNKD) for $26.2 billion.
For more about Microsoft’s multi-billion dollar purchase of LinkedIn, watch:
The company posted net income of $3.12 billion, or 39 cents per share, for the fourth quarter ended June 30, compared with a loss of $3.2 billion, or 40 cents per share, a year earlier.
Adjusted revenue rose to $22.6 billion from $22.18 billion.
