Quarterly results: Bing, Surface and Office on the rise, Lumia continues to fall
Late last night Microsoft published its financial results for the 2nd quarter of 2016 financial year, which surpassed analysts ‘ expectations. To achieve this, the company was able, largely due to increased demand for cloud products and services, reports Reuters.
Over the past 12 months, Microsoft shares rose more than 26 percent to 52.06 USD at the end of the trading session on Thursday. After the session they went up another 3%.
Income from «intellectual cloud» business, which includes products such as Azure, increased by 5% to 6.3 billion.
The total income of Microsoft fell by 10.1% to 23.80 dollars, being under pressure as a stronger dollar and a weak market for personal computers. Adjusted income fell to $ 25.69 billion, but still surpassed analysts ‘ expectations.
The mobile division of the company, as expected, finished the quarter with terrible results. In particular, sales of Lumia smartphones fell to the level of 2012. Now we have to wait, what will the company’s management about the future of Windows 10 Mobile – whether they plan to do anything to fix the situation, or do you prefer to give?
- Below are summarized the most relevant data from the financial report, Microsoft for Q2 2016:
- Turnover reached 23.8 billion (26.4 billion us dollars in the 2nd quarter of 2015);
- Net profit amounted to 4.998 billion (USD 5.8 billion in the 2nd quarter of 2015);
- Revenue from sales of Windows licenses to OEMs decreased by 5% to 12.66 billion compared to the same period last year (the decline reflects the slowdown of the PC market);
- Revenue from Surface sales grew by 29% to 1.18 billion (mainly due to good results Surface Pro 4 and Surface Book);
- Income from the sale of mobile phones and smartphones fell by 49% compared to the same period last year (4.5 million sold Lumia devices);
- The income from the business of «Intelligent cloud» increased by 5% to 6.3 billion (annualized);
- The proceeds from the sale of products related to Azure increased by 140%;
- Sold 22.5 million «other phones» (simple mobile phones under the Nokia brand);
- Revenue from search advertising increased by 21% (due to Windows 10)
- The number of active users of Xbox Live have grown 30% (annualized), reaching a record level of 48 million;
- Revenue from Xbox Live increased by 24%;
- The number of subscriptions on Office 365 has reached 20.6 million
To find detailed information on financial results for Q2 2016 Microsoft here.