Microsoft just announced a monster quarter and fiscal year, with record revenue thanks largely to everybody gobbling up Windows 7 - to the tune of 175 million licences sold since it launched.
The only place where Microsoft managed to lose money this quarter was in the Online Services division (read: Bing). But even that's not a cause for serious alarm; Bing's a growth business that grew every month this past year. The call to discuss exactly which hand went over which fist to make so much cash starts at 5.30pm EST (7.30am AEST); we'll be updating as warranted.
Redmond, Wash. – July 22, 2010 – Microsoft Corp. today announced record fourth-quarter revenue of $US16.04 billion for the quarter ended June 30, 2010, a 22% increase from the same period of the prior year. Operating income, net income and diluted earnings per share for the quarter were $US5.93 billion, $US4.52 billion and $US0.51 per share, which represented increases of 49%, 48% and 50%, respectively, when compared with the prior year period.
"This quarter's record revenue reflects the breadth of our offerings and our continued product momentum," said Peter Klein, chief financial officer. "The revenue growth, combined with our ongoing cost discipline, helped us achieve another quarter of margin expansion."
Product momentum continued during the quarter with the successful launch of Office 2010 and strong performance from existing products including Windows 7, which has sold more than 175 million licenses to date, Windows Server, Xbox, and Bing, which achieved its 13th consecutive month of share gain.
"We saw strong sales execution across all of our businesses, particularly in the enterprise with Windows 7 and Office 2010," said Kevin Turner, chief operating officer. "Our transition to cloud services is well underway with offerings like Windows Azure and our Business Productivity Online Services, and we look forward to continuing our product momentum this fall with the upcoming launches of Windows Phone 7 and Xbox Kinect."
For the fiscal year ended June 30, 2010, Microsoft reported record revenue of $US62.48 billion, a 7% increase from the prior year. Operating income, net income and diluted earnings per share for the year were $US24.10 billion, $US18.76 billion and $US2.10, which represented increases of 18%, 29% and 30%, respectively, when compared with the prior year.