Microsoft Reports Record Revenue
Microsoft reported record fiscal first-quarter revenues on Thursday, with strong demand for Office, Windows 7, and the Xbox driving a 51 percent increase in profits.
Microsoft reported net income of $5.41 billion on revenue of $16.20 billion for the quarter ended Sept. 30. That represented a 51 percent increase in profits, and a 25 percent jump in revenue from the same period a year ago.
Microsoft said its year-ago results included the deferral of $1.47 billion of revenue due to its Windows 7 upgrade option.
The company said that Office 2010 revenue was up 15 percent over previous Office revenue in its first full quarter of sales. Xbox sales grew by 38 percent, and Bing also continued its market-share expansion.
More importantly, the company said that it "continues to see a healthy and sustaining business PC refresh cycle," a contrast to a gloomy outlook for the PC microprocessor market, which could have a negative impact on PC sales.
"This was an exceptional quarter, combining solid enterprise growth and continued strong consumer demand for Office 2010, Windows 7, and Xbox 360 consoles and games," said Peter Klein, chief financial officer at Microsoft, in a statement. "Our ability to grow revenue while continuing to control costs allowed us to deliver another quarter of year-over-year margin expansion."
Read the full story at PCMag.com
