Microsoft's fiscal first quarter results reported Thursday were largely in line with Wall Street's expectations. On a year-over-year basis, revenue rose 7 percent and profit grew 6 percent. And, as has been the case for the past several quarters, investors just didn't seem all that excited about the results.
For its fiscal first quarter, Microsoft's net income was $US5.74 billion ($A5.53 billion) , or 68 cents per share, up from $5.4 billion and 62 cents per share during last year's quarter. Microsoft's Q1 revenue was $17.37 billion, up from $16.2 billion during the year-ago quarter.
"We are off to a good start for the year," Microsoft CFO Peter Klein said.
Revenue for the Microsoft business division was $5.62 billion up 8 percent from last year's quarter, while Microsoft's Server and Tools Business posted revenue of $4.25 billion, up 10 percent from last year.
Klein said Microsoft's services business is seeing an uptick as more customers begin investing in cloud infrastructure.
"We're really seeing healthy demand for our consulting services to help people architect and deploy our next generation of products," he said. "People are really investing in their data centres and in private cloud."
Microsoft's Windows and Windows Live division revenue was $4.87, up 2 percent. Microsoft also surpassed the 450 million mark in Windows 7 license sales, CFO Peter Klein said during the call.
Microsoft last month released a developer version of Windows 8 , and expectations are that it will launch Windows 8 sometime next year.
Microsoft closed its $8.5 billion acquisition of Skype last week, and Klein said Microsoft plans to integrate the company into many of its products, including Lync, Windows Live Messenger and Windows Phone.
"Folks are in the building as we speak working hard on [integration] planning," Klein said.
Microsoft, which will begin including Skype's results next quarter, issued operating expense guidance of between $28.6 billion and $29.2 billion.
Microsoft shares were down 18 cents Thursday to $26.86 in after hours trading.
This article originally appeared at crn.com
Issue: 316 | July 2013
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