Microsoft going strong on Enterprise sales

Microsoft Reports Record Third-Quarter Revenue

Microsoft Corp. today announced quarterly revenue of $17.41 billion for the quarter ended Mar. 31, 2012, a 6% increase from the prior year period. Operating income was $6.37 billion, up 12% from the prior year period.

Net income and diluted earnings per share for the quarter were $5.11 billion and $0.60 per share, compared with $5.23 billion and $0.61 per share, respectively, in the prior year period.

Highlights:

  • Office 2010 and Dynamics continues to do great, Microsoft Business Division grew 9% y-on-y.
  • Windows 7 rebounded little and showed 4% increase y-on-y. 40% enterprise desktops running Windows 7 now.
  • Server & Tools business grew 14% y-on-y, driven by double-digit revenue growth in SQL Server and more than 20% growth in System Center revenue.
  • Laggards included Enterprises & Devices Division - 16% decrease in revenues due to lower XBOX sales due tosoft gaming console market and Online Services Division - Revenue of $707 million which grew 6% y-on-y but had losses of 479 Million. Only silver lining in OSD revenues came from operating loss improvement of approximately $300 million.