Microsoft posts fastest first-quarter growth since 1999

Much like Intel, Microsoft has posted very healthy results for its latest quarter. The Redmond software behemoth says it had revenue of $13.76 billion for the first quarter of its 2008 financial year, which kicked off on July 1. That revenue corresponds to a 27% increase over the same quarter a year before, when Microsoft posted revenue of $10.81 billion. According to Microsoft's Chief Financial Officer Chris Liddell, that's the fastest revenue growth for a first quarter the company has seen since 1999. Profits-wise, Microsoft says it raked in net income of $4.29 billion, a jump of 23% from the same quarter a year before.

To thank for the increases are Microsoft's Client, Business, and Server and Tools divisions, which the company says experienced combined revenue growth of 20%. Microsoft also lauds "robust" demand for Windows Vista, Office 2007, Windows Server, and SQL Server. Speaking of Vista in particular, which has been criticized by some analysts for lower-than-expected sales, Microsoft Platform and Services Division President Kevin Johnson states, "Customer demand for Windows Vista this quarter continued to build with double-digit growth in multi-year agreements by businesses and with the vast majority of consumers purchasing premium editions."

For the second quarter of its 2008 financial year, which will end on December 31, Microsoft expects revenue to rise to $15.6-16.1 billion and operating income to grow to $5.9-6.1 billion.

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