Microsoft reports record Q1 results

21 Oct 2011

Microsoft’s first-quarter revenue has increased 7pc to US$17.37bn from the same period last year, the company has reported.

Operating income, net income, and diluted earnings per share for the quarter ended 30 September 2011 amounted to US$7.20bn, US$5.74bn, and US$0.68 per share, which represented increases of 1pc, 6pc, and 10pc, respectively, when compared with the prior-year period.

“We saw customer demand across the breadth of our products, resulting in record first-quarter revenue and another quarter of solid EPS growth,” said Peter Klein, chief financial officer at Microsoft. “Our product portfolio is performing well, and we’ve got an impressive pipeline of products and services that positions us well for future growth.”

The Microsoft Business Division reported US$5.62bn in first-quarter revenue, an 8pc increase from the prior-year period which included the launch of Office 2010. Revenue from Microsoft’s productivity server offerings – including Lync, SharePoint, and Exchange – grew double digits, and the Dynamics business grew 17pc in the quarter.

The Server & Tools segment posted US$4.25bn in first-quarter revenue, a 10pc increase over the prior-year period and the sixth consecutive quarter of double-digit revenue growth.

Windows and Windows Live Division revenue reached US$4.87bn, a 2pc increase over the same time last year, in line with the PC market. More than 450m Windows 7 licences have been sold since its launch in October 2009.

“We had another strong quarter for Office, SharePoint, Exchange, and Lync, and saw growing demand for our public and private cloud services, including Office 365, Dynamics CRM Online, and Windows Azure,” said Kevin Turner, chief operating officer at Microsoft.

“With a great set of consumer products like Windows 7 PCs, Windows Phone 7.5, Xbox and Kinect, we are excited about the holiday buying season.”