Microsoft has no consumer mojo, investors should be fairly happy at whatever's going on there at Redmond, as the world's largest software maker today announced a record first-quarter revenue of $16.20 billion for the quarter ended Sept. 30, 2010, a 25 percent increase from the same period of the prior year.
Operating income, net income and diluted earnings per share for the quarter were $7.12 billion, $5.41 billion and $0.62 per share, which represented increases of 59, 51 and 55 percent, respectively, when compared with the prior year period.
“This was an exceptional quarter, combining solid enterprise growth and continued strong consumer demand for Office 2010, Windows 7, and Xbox 360 consoles and games,” said Peter Klein, chief financial officer at Microsoft. “Our ability to grow revenue while continuing to control costs allowed us to deliver another quarter of year-over-year margin expansion.”
Microsoft made four points at what helped it achieve a new record:
· Office 2010 is off to a fast start with revenue growing over 15% in its first full quarter in market.
· Microsoft continues to see a healthy and sustaining business PC refresh cycle.
· Xbox 360 consoles grew 38%, outselling every competing console in the U.S. for each of the past four months.
· For yet another quarter, Bing continued to grow market share, while achieving major milestones in implementing Microsoft’s partnership with Yahoo.