• Microsoft average operating margin for 2023 was 42.45%, a 1.75% increase from 2022.
• Microsoft average operating margin for 2022 was 41.72%, a 0.29% increase from 2021.
• Microsoft average operating margin for 2021 was 41.6%, a 9.53% increase from 2020.

Operating margin can be defined as operating margin measurement of what proportion of a company's revenue is left over after paying for variable costs of production such as wages, raw materials, etc.