Microsoft posts record-breaking revenue

Yes, believe it or not, Microsoft is still raking in truckloads of cash. In other news, the sky is still blue, and grass still grows green. Those truckloads of cash were especially full during Microsoft’s last fiscal quarter, which ended on September 30. All in all, the software giant posted net income of $5.41 billion on revenue of $16.2 billion. Here’s how those figures compare to past numbers:

   Q1FY10 Q4FY10 Q1FY11
Revenue $12.92 billion $16.04 billion $16.20 billion
Net profit $3.57 billion $4.52 billion $5.41 billion

Now, there is a small caveat. In the company’s words, "Prior year results reflect the deferral of $1.47 billion of revenue, an impact of $0.12 of diluted earnings per share, relating to the Windows 7 Upgrade Option program and sales of Windows 7 to OEMs and retailers before general availability in October 2009." Microsoft touts 51% net profit growth compared to the same quarter a year ago, but without the deferral, that growth only amounts to 20%.

In any case, the company boasts of growth across "all business segments," including the Xbox 360, which saw 38% growth and purportedly outsold "every competing console in the U.S. for each of the past four months."

Also, I guess it’s now official: Microsoft is posting lower revenue than Apple. To Microsoft’s credit, though, Apple is making less profit—$4.31 for the last quarter.

Comments closed
    • WaltC
    • 9 years ago

    I really wonder why anyone keeps comparing Apple to Microsoft these days. I mean, Apple removed the word “computer” from its company name and trademark years ago, and computers these days are a sideline at Apple–distinctly less than 50% of its business (about 30% of its revenue last quarter.) Today’s Apple is an OEM for cell-phones and MP3 players, primarily, and a couple of other idevices, like iPad and Apple TV.

    • TEAMSWITCHER
    • 9 years ago

    I think that Apple is unstoppable. The Windows/PC model worked well in limiting the number of Mac sales but had a heavy price. Price competitive PC manufacturers abandoned the high end laptop market. Now the MacBook Pro is easily the best selling $1000+ notebook in the world. Apple came in from above and took a key portion of their market. It was another one of Steve Job’s more brilliant (and less publicized) plays.

    Next year when the iPad sells for about the same money as a decent net-book, that will further erode the Windows/PC hegemony. The PC crowd is already looking like “Keystone Cops”, running around pre-announcing tablets and talking trash, even though they have nothing remotely like the iPad…And probably never will.

    Finally, there is the Verizon iPhone – the most talked about smart phone on the internet. That is going to put up some very big numbers. In two years, Android will be the number two phone. Windows Phone 7 and Blackberry slugging it out for a distant third place.

    Apple will be the first tech company to 100 million in annual revenue. With the fewest number SKU’s, Apple is truly defining the business 3.0 world.

      • TEAMSWITCHER
      • 9 years ago

      million excuse me…I meant billion -with a ‘B’.

        • Meadows
        • 9 years ago

        There’s an “Edit” button.

      • WaltC
      • 9 years ago

      /[http://community.winsupersite.com/blogs/paul/archive/2010/04/20/mac-q1-2010-pc-market-share-3-6-percent.aspx<]ยง The "10%" Mac share you heard about was only for last quarter and /[

    • adampk17
    • 9 years ago

    “only 20% growth”. There are so many things wrong with that statement I don’t know where to begin.

    • plasticplate
    • 9 years ago

    I have to agree with blastdoor and sweatshopking; first of all, i dont think MS is going away anytime soon. Their products may not be as cool as some other fruit products, but they are slowly incorporating teh cool factor into them. Second, even if they catch every bad break imaginable, they would probably break up into specialized segments for different divisions. If apple could survive for so long with practically no sales in the 90’s ( Mac sales during that time were anaemic), i would think it would be next to impossible for a company like MS raking in truckloads of money to just go bankrupt( or whatever it is u guys mean by ‘going away’). BTW really miss ur trolling SSK ๐Ÿ™‚

      • NeelyCam
      • 9 years ago

      l[

        • plasticplate
        • 9 years ago

        True True……

      • sweatshopking
      • 9 years ago

      yah man, i pretty much stopped “trolling” because people kept whining. I’m happy to hear you enjoyed it as well! Let me know what topics you enjoyed it best, and i’ll see what I can do!

        • plasticplate
        • 9 years ago

        Now thats the SSK i know. Dont have to pick specific topics dude, ur good at trolling everything :P. Seriously though, whats with the reduction of posts nowadays

          • sweatshopking
          • 9 years ago

          been busy. I got a layoff notice, and have been working OT to try and keep my job. so far, i’m still there, but it’s been tough, and i’m going day to day. I’ve been getting lots of complaints from people about the trolling, which is really the main reason I cut it back.

    • herothezero
    • 9 years ago

    I laugh in the general direction of the post-PC era; gadgets and tablets don’t make content, they just restrict how it’s used–and more importantly, who we have to pay for that content. People are so willing to give up control–outfits like Apple don’t care about their hardware as much as their ability to direct users to their own restricted content distribution systems.

    I don’t think M$ is going to miss any meals for a long, long time. If anything, they’re more entrenched in the enterprise than ever before with a slew of great ass-kicking products (W2K8 R2, SP 2K10, et al).

      • no51
      • 9 years ago

      keeping that basement clean hopefully, don’t want your parents yelling at you when they have people over.

      • PeterD
      • 9 years ago

      Tablets and so on are just a different market.
      MS is not big in them, but that doesn’t necessarily imply they have to dwindle in the pc market.
      As long as Apple or Linux don’t get a strong foothold in the pc market, the actual revenue of MS is not in danger.
      The only thing in danger is the /[

        • End User
        • 9 years ago

        Tablets are in the same market. Tablets will eat into Windows based PC sales.

      • End User
      • 9 years ago

      You are way off. None of the media (20GB) on my iPhone/iPad is locked down. All of it is controlled by me. It is easy to ignore Apple as a source of content.

    • tejas84
    • 9 years ago

    Not bad for a “dying company”

    How are those apple CNN???

    CNN is the dying company

      • sschaem
      • 9 years ago

      There seem to be allot of article about MS in the news that show the company in a very negative light.
      Always ‘funny’ how that stuff appear near option expiration day…

      • KoolAidMan
      • 9 years ago

      I love how so many people completely miss the point of the article. The article said that it is a dying “consumer” brand, not a dying business brand, huge difference.

      For years the bulk of Microsoft’s profits have been enterprise sales, not consumer sales. Also, their top moneymaker isn’t Windows, it is Office. Between that and their backend sales, they have the business market locked down. Software is highly profitable, much moreso than hardware, and when you have a global lockdown on business software then it is inevitable that you will be rolling in cash.

      Their consumer business on the other hand has ranged from anemic (Zune) to losing marketshare (IE declining again Firefox and Chrome), or hemorraging money for years before showing up barely in the black (XBox division).

      For a point of comparison, note that in one year the iPad alone will have made more money (both gross revenue and net profit) than the XBox 360 did in /[

        • WaltC
        • 9 years ago

        Yes, just as you can say that Apple is a dead consumer computer company (what else would you say when Apple removed the word “computer” from its trademark?)–and absolutely stone dead in terms of the business computing community. Apple’s world market share of the computer market was an abysmal ~3.6% last quarter, making it at least 20 years that Apple’s share of the market has been <5%. In the US, Apple’s market share hit 10%, but in many other countries around the world it doesn’t even tabulate to a 1% share.

        As usual, lots of people still don’t get the fact that Apple derives >95% of its revenue and profits from the sale of its hardware, whereas Microsoft derives >95% of its revenue and profit from the sale of its software. The two companies have always been vastly different in many ways–which explains why Microsoft could gross ~20% less than Apple last quarter but manage to make ~20% more profit than Apple at the same time. The things Microsoft does wouldn’t fly at Apple; and vice-versa.

    • moog
    • 9 years ago

    MS is treading water for now but their ship is sinking and are the underdog in the consumer space.

    Maybe in another 10 yrs they’ll cease to exist.

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