Microsoft logo in a store window. Image: boggy22/Depositphotos
Software giant aims to maintain position as world’s most valuable company.
A strong focus on cloud affecting every business in every industry is paying off for Microsoft after it reported Q2 revenues were up 12pc to $32.5bn.
The jump was made possible through gains in Microsoft’s Cloud and Office businesses as well as the success of its Surface hardware.
‘Our solid execution delivered another strong quarter, with commercial cloud revenue growing 48pc year over year to $9bn’
– AMY HOOD
The company reported profits of $8.4bn and an operating profit of $10.3bn, up 18pc on last year.
“Our strong commercial cloud results reflect our deep and growing partnerships with leading companies in every industry, including retail, financial services and healthcare,” said Satya Nadella, CEO of Microsoft.
“We are delivering differentiated value across the cloud and edge as we work to earn customer trust every day.”
Cloud offers a silver lining for Microsoft
The company returned $9.6bn to shareholders in the form of share repurchases and dividends.
It revealed that Office commercial products and Cloud services revenue surged 11pc, driven by Office 365 commercial revenue growth of 34pc.
LinkedIn revenue was up 29pc through new records in sessions growth of 30pc.
Revenue in Intelligent Cloud was $9.4bn, a 20pc increase on last year.
Microsoft reported that revenue in More Personal Computing was $13bn, up 7pc, despite a decline in Windows OEM (original equipment manufacturer) revenue.
Surface revenue surged 39pc while in Gaming, Xbox software and services saw revenue growth of 31pc.
“Our solid execution delivered another strong quarter, with commercial cloud revenue growing 48pc year over year to $9bn,” said Amy Hood, executive vice-president and chief financial officer of Microsoft. “We continue to make strategic investments to capture expanding market opportunities to drive growth across our businesses.”
Microsoft logo in a store window. Image: boggy22/Depositphotos
