Microsoft Does Well On Server-Software Sales
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Microsoft said last week that its first-quarter net income rose 11% and revenue 12% because of strong server-software demand and steady sales of PCs that run its products.
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Buoyed by continued strong worldwide sales of personal computers, Microsoft reported strong growth even as it faces the challenges of being a mature technology company.
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Strong sales of new and old products alike led Microsoft to its fastest first-quarter growth in seven years, with the company reporting growth in all five business segments and both revenue and earnings per share (EPS) that beat analyst expectations.
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'Is that you, Serguei?' Microsoft continues to make nice with non-VMware entities in the server virtualization market. The software maker this week, for example, firmed up a support deal with SWsoft that will see its rival's customers gain access to Microsoft's own army of Windows Server experts.â¦
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Microsoft Corp. , the world's largest software maker, on Thursday said its first quarter profit climbed as personal computer sales and business demand fueled higher sales.
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By announcing plans to maintain its current per-processor server software licensing, Microsoft Corp. has pleased customers and, in the process, put serious pressure on competing software developers to do the same.
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Windows, Office software lead Microsoft to record stronger-than-expected sales, as online rival Google stumbles.
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Strong sales of new and old products alike led Microsoft to its fastest first-quarter growth in eight years with the company reporting growth in all five business segments and both revenue and EPS (earnings per share) that beat analyst expectations.Revenue for the fiscal quarter ended Sept. 30 was up 27 percent at $13.76 billion compared to $10.81 billion a year ago, Microsoft said Thursday. Consensus estimates from Thomson First Call analysts were for the company to generate revenue of $12.57 billion. Microsoft&#39;s EPS for the quarter was $0.45, which also soundly beat Thomson First Call consensus estimate of $0.39. Net income for the quarter was $4.29 billion, a 23 percent increase over the $3.48 billion reported a year ago.At $5.92 billion, operating income for the quarter also had double-digit percentage growth: An increase of more than 25 percent over operating income reported for the same period last year of $4.47 billion.Microsoft&#39;s first quarter was buoyed by the highly anticipated launch of the Xbox 360 game Halo 3 on Sept. 25, just days before the quarter&#39;s close. In its first 24 hours on sale, the game brought in $170 million in sales; it became the fastest selling video game in history after being in the market for just a week and a half, according to the company.Strong performances from Microsoft&#39;s client, business, server and tools, and online divisions also contributed to revenue growth in the quarter. In particular, Microsoft said sales of its Windows Vista OS experienced double-digit growth through multi-year business contracts, and demand for Microsoft Office, Windows Server, and SQL Server was also high.Looking ahead, Microsoft said it expects to report revenue in the range of $15.6 billion to $16.1 billion for its second quarter, which ends Dec. 31. Operating income is expected to be in the range of $5.9 billion to $6.1 billion, while diluted EPS are expected to be between $0.44 to $0.46 for the second quarter, the company said.For its fiscal year 2008, Microsoft expects revenue in the range of $58.8 billion to $59.7 billion and operating income in the range of $23.3 billion to $23.7 billion. Diluted earnings per share are expected to be between $1.78 and $1.81 for the fiscal year, the company said.
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Fuelled by strong sales of Windows and Linux systems, the worldwide server market grew to $11.5 billion during the second quarter of 2004, according to numbers released Friday by industry research company IDC. Server shipment revenue was up 6.9 percent from last year's second quarter, and the total number of servers shipped jumped 21 percent during that same period, IDC said.
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Dell (Dell:Nasdaq - news - research) and Microsoft (MSFT:Nasdaq - news - research) are partnering to develop and sell software that makes it easier for large businesses to manage their servers, the two companies announced Monday.
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Microsoft posted solid growth in quarterly sales and profit on Thursday, buoyed by strong holiday sales of personal computers and video games.
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NEW YORK, October 22  - Microsoft Corporation (MSFT.NAS) has projected its current quarter sales below the Wall Street expectations, since the company&#39;s customers are likely to delay some contract agreements.
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Investor's Business Daily - Microsoft easily beat Wall Street's forecasts for its fiscal second quarter on Thursday thanks to strong sales of Windows Vista, Office software and video games.
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Booming sales of server and mobile-computing microprocessors push third-quarter revenue and net income beyond earlier guidance. By Darrell Dunn.
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Amid strong PC demand from consumers and businesses, Microsoft reported on Thursday quarterly revenue and earnings that topped the company&#39;s earlier expectations.
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Despite underwhelming consumers and being&#160;snubbed by enterprises,&#160;Windows Vista&#39;s numbers keep growing, with Microsoft&#160; saying Thursday that it has now shipped 88 million copies of the operating system, almost double the number of copies of XP in the same amount of time at its launch.In late July, Microsoft said it had hit the&#160;60 million shipment mark with Vista.Microsoft had previously said that it had&#160;shipped 20 million copies of Vista&#160;in its first month and 40 million copies of Vista in the first 100 days.Microsoft credited Vista with helping it&#160;beat Wall Street expectations&#160;and raise financial projections for the rest of the year. The company reported revenue of $13.76 billion for the first quarter ended Sept. 30, up 27 percent from the same quarter in 2006.Revenue in its client segment, which includes all consumer versions of Windows, was $4.14 billion, edging out the $4.11 billion in revenue from the Microsoft Business Division where Office is produced.CFO Chris Liddell credited strong sales in emerging markets, due in part to anti-piracy and legalization programs there.Client revenues, however, did not top those of the first calendar quarter this year, when Vista was officially launched. Revenues at that time were $5.32 billion.Three-quarters of the copies sold of Vista were higher-priced &#39;premium&#39; versions, compared to 59 percent of the copies of Windows -- primarily XP -- available a year ago.The 88 million figure mostly includes Vista-installed PCs bought by consumers and small businesses, as well as packaged copies of Vista sold in stores or online.It does exclude the tens of millions of Windows corporate volume licenses. There, many enterprises continue to hold off on deploying Vista, acknowledged CFO Chris Liddell, though he expects them to start deploying it when Vista Service Pack 1&#39;s arrival in the first quarter of next year.Nevertheless, revenue from companies renewing their volume licenses for Windows, which gives them the right to upgrade to Vista, was up 27 percent.Other highlights from the statistics:-- Unit sales of Windows Server&#39;s premium enterprise edition were up 35 percent year-over-year;-- A release candidate for Windows Server 2008 has been downloaded more than one million times in its first month;-- Unit and revenue growth of SQL Server were both up more than 15 percent;-- Halo 3 generated $330 million in revenue;-- Xbox 360 console unit sales increased 90 percent, driven by a price cut in August and Halo 3-related demand;-- Client revenues, including those for Vista, are expected to grow 62-64 percent year-over-year in the current fiscal Q2, or 13-14 percent excluding certain revenue deferrals in the prior year;-- Microsoft Business Division revenues, including those for Office, are expected to grow 15-16 percent in Q2 after normalizing for impact of technology guarantees and pre-shipment deferrals in the prior year;-- A beta version of Office Communications Server has been downloaded 80,000 times;-- There are 10,000 customers in the Customer Technical Preview (CTP) program for PerformancePoint Server, its new business intelligence offering.Computerworld is an InfoWorld affiliate.
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Microsoft Corp. has announced revenue of $9.19 billion for the quarter, a 12% increase over revenue of $8.22 billion for the same period in the prior year.