Microsoft Crosses $80 On Top- And Bottom-Line Q1 Beat

Microsoft hits its $20 billion annual run rate goal for commercial cloud in strong Q1

Microsoft hits its $20 billion annual run rate goal for commercial cloud in strong Q1

Revenue from Azure, Microsoft's cloud computing service, grew 90 percent during the fiscal first quarter. Office consumer products and cloud revenues rose 12%, while Dynamics products and cloud revenues rose 13%, including a 69% increase in Dynamics 365 revenue. In the just-completed quarter, that business met and exceeded the company's goal of $20 billion in annualized revenue.

As in previous quarters, the numbers most of us pundits are going to focus on revolve around Microsoft's cloud efforts.

As a reward Microsoft's share price climbed 3.4% in after-hours trading to $81.46, giving the company a market cap of more than $626 billion.

Google is investigating reports of Pixel 2 XL screen burn
Google said Monday it is "actively investigating" reports of its Pixel 2 smartphone experiencing problems with its touchscreen. Screen-burn has always been an issue in the display world, affecting TVs and monitors as well as the odd smartphone display.

In terms of guidance, analysts are looking for Microsoft to hit 83 cents in earnings per share, excluding certain items, and $28.15 billion in revenue in the second quarter, which will end on December 31, according to Thomson Reuters. At the same time, as new data centers come online and become more efficient, Microsoft has been making progress in increasing the profitability of these services, with commercial cloud gross margin widening to 57 percent. Office 365 subscribers hit 28 million. Microsoft doesn't disclose the actual dollar amount of Azure revenue.

As you can see from the image above, the biggest areas of growth, in terms of percentage, are Azure, Dynamics 365, and Office 365 commercial.

Revenue has been patchier in personal-computer software and hardware. The segment declined earlier in 2017 owing to aging Surface Pro products that consumers shunned. LinkedIn contributed revenue of $1.1 billion. This recent period was the first full quarter in which stores were stocked with an update to that product - Microsoft's best-selling Surface - and a totally new category, a laptop computer with a clamshell design. By contrast, the PC industry as a whole is still shrinking. The company had guided for between $23 billion and $23.7 billion, and in the year-ago quarter. Analysts had estimated $8 billion.

Recommended News

  • $70 Yosemite entrance fee: Big increases proposed for parks

    $70 Yosemite entrance fee: Big increases proposed for parks

    This proposal would also include a peak season commercial entrance fee structure for the 17 national parks referenced above. The National Park Service is floating a steep increase to the entrance fee at Rocky Mountain National Park.
    Bank of Canada keeps benchmark interest rate steady at 1%

    Bank of Canada keeps benchmark interest rate steady at 1%

    The global and Canadian economies are progressing as outlined in the July MPR. "We think growth 2% next year is pretty good". Exarhos said the Canadian dollar is expected to weaken to 77 cents U.S.in the early part of next year.
    GM shares rise despite hefty loss, tough North American market

    GM shares rise despite hefty loss, tough North American market

    On 7/24/2017 announced a quarterly dividend of $0.38 4.23% with an ex dividend date of 9/7/2017 which will be payable on 9/8/2017. Stewart & Patten Co Llc sold 276,241 shares as the company's stock declined 13.59% while stock markets rallied.
  • PUBG Gets Physical | Release Date To Be Confirmed For Xbox One Console

    PUBG Gets Physical | Release Date To Be Confirmed For Xbox One Console

    During this interview, we found out some more about the game, and news that there will indeed be no " Battlegrounds 2". This update will increase the damage that is done by the blue zone to try to keep fights inside the safe zone.
    Ewan McGregor splits from wife of 22 years, spotted kissing 'Fargo' co-star

    Ewan McGregor splits from wife of 22 years, spotted kissing 'Fargo' co-star

    Of playing an onscreen couple with Winstead, McGregor told The Hollywood Reporter in August, "I loved it". Ewan McGregor was seen kissing his co-star Mary Elizabeth Winstead , his Fargo co-star.
    Political slugfest over Tamil film Mersal's GST scenes

    Political slugfest over Tamil film Mersal's GST scenes

    Ruling BJP which is called a Hindu party for its views and supports Hindus took a dig on Tamil hero Vijay in the same way. The Tamil flick is entertaining the audience in the theaters, the film succeeds to pull crowd inside the theaters.
  • Ambassador Scott Brown being investigated for offensive comments in Samoa

    Ambassador Scott Brown being investigated for offensive comments in Samoa

    Brown appeared with fellow Republican Donald Trump as a supporter on the campaign trail in 2016. For three weeks the US Government has refused to confirm the investigation to 1 NEWS.
    Drug Take-Back day this Saturday

    Drug Take-Back day this Saturday

    Iowa City Police Department is doing their part to tackle drug abuse by taking part in Drug Take-Back Day this weekend. There will also be a collection site in the parking lot next to Kaiser Permanente at 3501 Stockdale Highway.
    Nintendo Switch Update v4.0.0 Supports GameCube Controllers

    Nintendo Switch Update v4.0.0 Supports GameCube Controllers

    The Nintendo Switch received a massive update last week and it looks to be so big that new additions are still being discovered. There is a caveat, however-using a GameCube controllers means you will have to do without a ZL button and home button.
  • Nintendo to debut Animal Crossing game for iOS next month

    Nintendo to debut Animal Crossing game for iOS next month

    BHFF (Best Human Friends Forever): Not all of your friends in Animal Crossing: Pocket Camp will have fur or feathers. You can register for updates on the official site using your Nintendo account or the Google Play Store .

    Egyptian Army Thwarts Infiltration of Gunmen from Libya

    The group has claimed responsibility for several attacks around Cairo , targeting judges and police officers over the past year. A military statement said those travelling inside the vehicles were killed during the operation, without specifying how many.
    Siraj, Iyer included for NZ T20Is, Vijay returns for Lanka Tests

    Siraj, Iyer included for NZ T20Is, Vijay returns for Lanka Tests

    He also did well for India A during the series in Australia, South Africa and recently against New Zealand A. The major highlight being the two new faces included in the squad - Shreyas Iyer and Mohammed Siraj.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.