Thursday, October 23rd 2014
Microsoft Reports Record First-Quarter Revenue
Microsoft Corp. today announced revenue of $23.20 billion for the quarter ended September 30, 2014. Gross margin, operating income and diluted earnings per share ("EPS") for the quarter were $14.93 billion, $5.84 billion and $0.54 per share, respectively.
These financial results include $1.14 billion of integration and restructuring expenses, or an $0.11 per share negative impact, related to both Microsoft's restructuring plan announced in July 2014 and the ongoing integration of the Nokia Devices and Services ("NDS") business.
"We are innovating faster, engaging more deeply across the industry, and putting our customers at the center of everything we do, all of which positions Microsoft for future growth," said Satya Nadella, chief executive officer of Microsoft. "Our teams are delivering on our core focus of reinventing productivity and creating platforms that empower every individual and organization."
"We delivered a strong start to the year, with continued cloud momentum and meaningful progress across our device businesses," said Amy Hood, executive vice president and chief financial officer of Microsoft. "We will continue to invest in high-growth opportunities and drive efficiencies across the organization to deliver long-term shareholder value."
Devices and Consumer revenue grew 47% to $10.96 billion, with the following business highlights:
These financial results include $1.14 billion of integration and restructuring expenses, or an $0.11 per share negative impact, related to both Microsoft's restructuring plan announced in July 2014 and the ongoing integration of the Nokia Devices and Services ("NDS") business.
"We delivered a strong start to the year, with continued cloud momentum and meaningful progress across our device businesses," said Amy Hood, executive vice president and chief financial officer of Microsoft. "We will continue to invest in high-growth opportunities and drive efficiencies across the organization to deliver long-term shareholder value."
Devices and Consumer revenue grew 47% to $10.96 billion, with the following business highlights:
- Office 365 Home and Personal subscribers totaled more than 7 million, representing more than 25% sequential growth over the previous quarter.
- Surface Pro 3 momentum drove Surface revenue of $908 million.
- New Windows consumer licensing programs drove positive unit growth while OEM non-Pro revenue declined 1%.
- Total Xbox console sales were 2.4 million, growing 102%, and Xbox One launched in 28 new markets.
- Phone hardware revenue exceeded $2.6 billion with ongoing focus on execution discipline.
- Server products and services revenue increased 13%, with double-digit growth for SQL Server, System Center and Windows Server.
- Office Commercial products and services revenue grew 5% as customers transition to Office 365.
- Commercial cloud revenue grew 128% driven by Office 365, Azure and Dynamics CRM.
- Lync, SharePoint and Exchange, our productivity server offerings, collectively grew double-digits.
- Windows volume licensing revenue increased 10%.
23 Comments on Microsoft Reports Record First-Quarter Revenue
Me I think it'll be interesting to see what will become in a few years. Things are moving. And I don't mean they're heading for a crash, they've got some good shit going on.
2,4 mill XBone sales? Whyyyy? #PCMasterRace (I'm overreacting here. ;)) Revenue from Office 365, makes sense. My subscription runs out in December, so I have to start saving to renew it.
The death of the PC has been greatly exaggerated.
I don't know, I'm not into consoles just PCs. :rockout:
The tiles on WindowsPhone are easy to use and maneuver through, movement is fluid, internet zips, i have lots of storage space, and several of my apps are tied into my MS account, making whatever i do on the phone duplicated on my pc.
It's on the PC where I dont think the tiles are well suited (and so I use start 8), but underneath I think 8.1 is a very good operating system, which is why I agree strongly with the first half of the statement.
Agree to disagree, but I needed to let readers know that WindowsPhone isnt a fail, as you seemed to imply. Their market share is growing, and really not bad at all considering MS entered late and had to play catch up.