Using a new reporting framework, Microsoft released its
FY2014 Q1 earnings today, with first-quarter revenue totaling $18.53 billion for the quarter ending September 30, 2013.
During today’s earnings call, executive vice president and CFO Amy Hood said Microsoft saw broad based revenue growth from a geographic perspective, with its PC market and consumer revenue performing better than expected. General manager of investor relations Chris Suh agreed, specifying Microsoft’s total revenue was $700 million higher than expected.
The company’s devices and consumer revenue sectors saw a 4 percent growth, reaching $7.46 billion, with Surface revenue climbing to $400 million and search advertising revenue growing 47 percent. According to the earnings report, Windows Pro revenue continued to climb for the second consecutive quarter, while Windows OEM revenue dropped 7 percent.
Commercial revenue was up as well, reflecting a 10 percent increase to $11.2 billion. Microsoft says the collective growth for Lync, SharePoint and Exchange was in the double-digits, while its SQL Server Premium revenue increased by more than 30 percent.
With Microsoft’s commercial cloud revenue representing 103 percent growth, Suh confirmed Microsoft is, “Seeing strong customer adoption,” with its cloud products.
Hood stated that Microsoft is set up for a terrific holiday season and believes the release of Xbox One later this year will drive record-breaking revenue gains.
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