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Microsoft's cloud continues to coin in cash Featured

by on24 October 2019 24054 times

$33.1 billion in revenue

Microsoft reported $33.1 billion in revenue for its fiscal 2020 first quarter, representing a 14 percent increase over the same period last year, and profits of $10.7 billion, up 21 per cent.

Vole's Azure cloud service did better than the cocaine nose jobs of Wall Street expected.

CEO Satya Nadella credited demand for cloud services among large companies for the influx of cash in a celebratory statement that included something about "accelerating our innovation across the entire tech stack".

For the three months to calendar September 30, earnings per share came to $1.38, representing a 21 percent increase from FY19 Q1.

The Windows-Office-Azure business saw its operating income reach $12.7 billion, up 27 percent. Redmond's Intelligent Cloud segment brought in $10.8 billion in revenue, an increase of 27 percent. Within that group, server products and cloud services revenue saw a 30 percent revenue gain, thanks mainly to Azure revenue growth of 59 percent, and enterprise services managed a seven percent revenue increase.

Microsoft's productivity and business processes segment accounted for $11.1 billion, a 13 percent increase. The business groups responsible for that include: Office Commercial, which saw a 13 percent revenue increase driven by Office 365 Commercial revenue growth of 25 percent; Office Consumer, which reported five percent more revenue; LinkedIn, which delivered 25 percent more revenue; and Dynamic products and cloud services, which provided a 14 percent revenue increase, driven by Dynamics 365 revenue growth of 41 percent.

Vole's more personal computing segment brought in $11.1 billion. Windows OEM revenue rose nine percent; Windows Commercial products and cloud services rose 26 percent; search advertising revenue rose 11 percent; Xbox content and services remained flat, and Surface revenue slipped four percent.  To be fair to the Surface, Vole released a new batch that was not included in these figures.

With segments sliced to collect cloud-related products and services into a single group called commercial cloud, revenue rose 36 per cent to reach $11.6 billion. Included in this calculation are Microsoft Office 365 Commercial, Microsoft Azure, LinkedIn money-making parts, Microsoft Dynamics 365, and a few other commercial cloud properties.

On a conference call for investors, Nadella said that every Fortune 500 company today is on a cloud migration journey and were making it faster and easier, pointing to the customer appeal of cloud partnerships with the likes of SAP, VMware, and Oracle.



Last modified on 24 October 2019
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