The Strategist

Microsoft doubles profit over year


07/19/2019 - 11:36



The world's largest software maker Microsoft Corp. sharply increased net profit and revenue in the past fiscal year, and now expects growth rates of more than 10% in the current financial system.



Mike Mozart
Mike Mozart
At the end of last fiscal year ended June 30, Microsoft's net profit jumped to $ 39.24 billion from $ 16.57 billion a year earlier. Revenue increased to $ 125.8 billion from $ 110.4 billion, according to Microsoft’s press release.

"Last fiscal year was a record for Microsoft, which was the result of close partnerships with leading companies in all industries," said the company's general director Satya Nadella.

According to Microsoft’s financial director Amy Hood, the company's operating profit and revenue will increase by more than 10% in the current fingodu.

The quarterly revenue of the Intelligent Cloud division (“smart cloud”), which includes Azure cloud service and server software business, grew by 19% in April-June, to $ 11.39 billion from $ 9.6 billion for the same period of the year earlier. Sales of the Azure service soared by 64% (Microsoft did not disclose the value in dollar terms), and sales of server products and cloud services grew by 22%.

The Productivity and Business Processes division, which, in particular, produces the Office suite of applications, increased revenue by 14% to $ 11.05 billion. Sales of Office products and cloud services for corporate clients rose by 14%, for consumers - by 6%. The revenue of the professional social network LinkedIn increased by 25% in the last quarter.

More Personal Computing, including Windows, Xbox gaming consoles and Surface devices, increased revenue by 4% to $ 11.3 billion. Revenue from sales of Windows operating systems rose by 7%, Surface devices - by 14%, and advertising revenue search engine rose by 10%.

The only indicator that has deteriorated over the last quarter was the revenue of the gaming segment, which decreased by 10%. Sales of Xbox consoles fell by 48%, games for the console - by 3%.

source: bloomberg.com