Microsoft Tops Forecasts, Displays 16% Profit Growth – Research Snipers

Microsoft Tops Forecasts, Displays 16% Profit Growth

The earning displayed by Microsoft for the last quarter was quite surprising and unexpected. The company gained in cloud computing and other business services. Compared to last year, this year profit surged by 16% to $6.6 billion.

Revenue increased by 12% to $24.5 billion for Microsoft. The consumer has introduced a range of enterprise services instead of just consumer software services.

By 3.2% shares in Microsoft also raised to $81.35 for in after-hours trade following the release.

Satya Nadella Microsoft chief executive said, “Our results reflect accelerating innovation and increased usage and engagement across our businesses as customers continue to choose Microsoft to help them transform.”

“More personal computing” division of Microsoft had almost similar revenue compared to last year at $9.4 billion. This division produces universal Windows operating system.  This division did show a sharp development of 28% from productivity and business process unit of the division. This unit brought $8.2 billion revenue.

“Intelligent cloud” division saw a growth of 14% compared to last year. Revenue contributed by this unit was$6.9 billion

Revenue contributed by LinkedIn, the professional social network acquired by Microsoft previous year was $1.1 billion during the quarter.

“Cloud technologies” operations have become essential to Microsoft’s future as it accounts for some $20 billion annualized

Judson Althoff executive vice president said, “Across major industries — from finance and energy sector to retail and professional sports — organizations are betting on Microsoft to help them transform their customers’ experiences, employee productivity, operations, and products. In fact, 96 percent of Fortune 500 companies have at least one of our cloud offerings, and 90 percent have at least two.”

Read also: Microsoft Office 2019 releasing next year