Late on Tuesday, Microsoft Corp., the Redmond, Washington-headquartered American multinational software behemoth, had released its quarterly earnings’ report for fiscal first quarter of the year that ended on September 30, which had insanely beaten Wall St.
forecasts for both quarterly revenues and profit, mostly prodded by a marginal gain on its flagship cloud computing business as the American tech tycoon had continued to benefit from a global-scale transmutation to working and studying from home.
More importantly, ongoing pandemic outbreak had rewarded the mega-cap US tech conglomerates likes of Amazon.com Inc., Alphabet Inc.’s Google LLC. and Microsoft Corp. vigorously since mid-March. Notably, Microsoft had shifted its focus into cloud computing and data-centre businesses back in the 2014s under the leadership of Chief Executive Satya Nadella, while in terms of market share, Microsoft’s Azure platform became the most dominant force in cloud computing and AI by far compared to its closest competitors likes of Amazon.com Inc.’s AWS (Amazon Wed Services) and Google Cloud.
Microsoft beats Wall St. forecasts on cloud growth
On top of that, according to Microsoft Corp.’s quarterly earnings’ report for its fiscal first quarter that ended on September 30, Microsoft Azure had witnessed a growth of 48 per cent on an annualized basis ahead of Wall St.
estimates of 43.45 per cent, data from Visible Alpha had unveiled, while Microsoft’s revenues on its “Intelligent Cloud” unit surged 20 per cent to $13 billion, beating an analysts’ estimate of $12.7 billion.
Apart from that, the Redmond-based American multinational tech titan had reported a 6 per cent rise in revenues on its personal computing division that includes its flagship Windows Operation System and Xbox gaming consoles.
In tandem, overall the tech conglomerate’s quarterly revenue shot up 12 per cent to $37.2 billion, wildly beating Wall St. estimates of $35.72 billion, while the company’s net income rose to $1.82 per share or $13.89 billion from $1.38 per share registered at the same time a year earlier, though analysts had anticipated a profit of $1.54 per share.
Nonetheless, after rising as much as 1 per cent shortly after the release of its quarterly earnings’ report, Microsoft’s shares’ prices plunged nearly 2 per cent to $209.1 in post-market trading after wrapping up the day 1.51 per cent higher to $213.25 apiece.
Meanwhile, addressing to a robust uptick in demands amid a stubborn rise in work-form-home employees across the globe, Microsoft CFO (Chief Financial Officer) Amy Hood said in a post-earnings’ call with the reporters, “It was another healthy quarter, with continued demand for remote offerings continuing to power results. ”