Microsoft Beats Earning Estimates
January 25, 2008 – 7:02 amIf you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
It has always been great to be Microsoft, and current times are no different. The company announced earnings that outstripped analyst’s expectations, thanks to good news from the XBox 360 division. The company also had better than expected results in their business division.
Microsoft raised its outlook Thursday for the rest of its fiscal year, which ends in June, matching Wall Street’s forecast and sending shares up in after-hours trading.
The software maker’s quarterly earnings jumped 79 percent to $4.71 billion, or 50 cents per share, from $2.63 billion, or 26 cents per share in the second quarter a year earlier. Quarterly revenue climbed 31 percent to $16.37 billion from $12.5 billion.
The comparison isn’t entirely fair — last year, Microsoft deferred more than $1 billion in revenue due to delays in getting Windows Vista to consumers.
Wall Street had been looking for a profit of 46 cents per share on $15.95 billion in sales.
One area where the company is not performing well is with their web services. The company has been getting soundly thrashed by Google for years, and there doesn’t appear to be a change headed their way anytime soon. MSFT lost $245 million online in 2007.
If you enjoyed this post, subscribe to the Superior Investor Blog RSS feed!.
