Microsoft Corporation FQ1 2018 Earnings Boosts Shares

Alan Olson
October 27, 2017

Net income in the recent period was 84 cents a share, Microsoft said Thursday in a statement.

In terms of guidance, analysts are looking for Microsoft to hit 83 cents in earnings per share, excluding certain items, and $28.15 billion in revenue in the second quarter, which will end on December 31, according to Thomson Reuters. That's in large part to the continued growth of Microsoft's cloud business.

Following the Microsoft FQ1 2018 earnings release, the company's stock surged in after-hours trades, climbing by as much as 2.51% to $80.74. See the full release here. LinkedIn revenues amounted to $1.1 billion. In 2015, Nadella set a target of US$20 billion in cloud revenue by 2018.

"A slowly improving PC environment is also a modest tailwind for Microsoft with cloud remaining the Trojan horse growth driver for Redmond over the coming years". The company's cloud business accounted $6.9 billion of that, a 14 percent year over year increase. Azure gross margins were a "key component" of the 8 percentage point improvement in commercial cloud services from the same period a year ago, Chief Financial Officer Amy Hood said.

The figure came in at $20.4 billion for the quarter.

MPC (more personal computing) segment derives the majority of its revenues from the PC (personal computing) market.

Trump Optimistic on Reaching Tax Plan by Year-End
Speaker of the House Paul Ryan (R-WI) speaks during a press briefing on Capitol Hill in Washington, U.S., September 7, 2017.

League Expects Kaepernick to Be Invited to Meeting With Players
Kaepernick was the young, prominent captain of the San Francisco 49ers , a team that had an ample amount of recent success. It was reported in March that Kaepernick planned on standing for the national anthem this season.

Supreme Court judge's driver shot before hearing
Wednesday has been unexpectedly declared a public holiday, but the Supreme Court says that will not affect its business.

As for Windows, revenue from companies putting Pro versions of the operating system on devices was up by 4 percent. As for the Xbox division, revenue increased by only 1 percent, Xbox software and services revenue growth saw an increase of 21 percent offset by lower hardware revenue.

Surface revenue increased by 12 percent driven by sales of the new Surface Laptop.

Diluted earnings per share was $0.84 and increased 17%.

In the fiscal first quarter, the two biggest pieces of Microsoft's cloud-computing operations - its Azure infrastructure services and Office 365 online-productivity business - saw revenue soar 90% and 42%, respectively. The company also said that Azure premium services grew by "triple digits" for the 13th consecutive quarter.

Microsoft reported revenue of $24.5 billion for the quarter, up almost 12 percent over the same period previous year.

Other reports by GlobalViralNews

Discuss This Article

FOLLOW OUR NEWSPAPER