MULTINATIONAL MEGACORP Microsoft has published its fourth-quarter results and its a mixed bag of news.
The topline figures are $33.7bn revenue and $13.2bn net income - both are massive rises compared to Q4 2018 and set a new fiscal year record for the company.
This is also the first set of results that sees Microsoft retaining its trillion-dollar value, achieved earlier in the year.
Surface revenue is up 14 per cent, despite there being no new models being released in the quarter. After a shaky start, Microsoft has established its Surface range as being a flagship of the PC market. Google will doubtless be banging down the door for advice on how to make its Pixel phones do the same.
Surprisingly, the gaming division had a rough quarter, down 10 per cent, with Xbox dropping three per cent. Even then it was mostly add-ons; the hardware side of Xbox has dropped a whopping 48 per cent - again because there's been no new hardware, but a preview of the next version, leading many potential buyers to hold off.
OEM demand for Windows Pro has gone up 18 per cent, not least of all because Windows 7 is now reaching end-game, spurring the demand for new, Windows 10 ready machines. Regular (non-pro) revenue has dropped, however, by 8 per cent. This isn't great news for getting the stay-aways updated to Windows 10.
As ever though, Microsoft is making its money in the cloud. Office (pro) revenue has gone up 14 per cent, with 180 million workers now using Office for business. In total, Microsoft revealed there are a healthy 34.8 million customers for its Office 365 rental service. There's also good news for Microsoft Teams, with the company citing 13 million daily users, meaning it has overtaken Slack.
Azure has jumped 64 per cent, but as great as that sounds, it's actually a massive slow-down compared to previous results, and the wider division, including server products, has only jumped 22 per cent, in an increasingly competitive market.
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