Microsoft announced his quarterly earnings for the second quarter of fiscal year 2020, or on fourth quarter of calendar year 2019. The Redmond company continues the positive trend with strong growth, equal to 14% year on year (YoY), for a total of 36.9 billion dollars. The figure is divided into
- $ 11.8 billion for the division Productivity and Business Processes (+ 17%)
- $ 11.9 billion for the division Intelligent Cloud (+ 27%)
- $ 13.2 billion for the division More Personal Computing (+ 2%)
There growth in Productivity and Business Processes was led by Office 365 and LinkedIn. All Office Commercial products and services recorded a 16% growth in turnover: Office 365 grew by 27%, while the non-cloud version of Office Commercial showed a decisive decline (-11%). Office 365 Commercial also grew 21%. The company also posted a 19% increase for Office Consumer products, thanks to recurring subscriptions and the Japanese market. Office 365 Consumer subscribers are now 37.2 million. Microsoft has also reported one LinkedIn revenue growth, equal to 24% with 25% of the extra sessions during the year. The products of the Dynamics family have grown by 12%, with the turnover of only Dynamics 365 increasing by 42%.
As for the division instead Intelligent Cloud, i.e. all the company's cloud services that are not included in the Prouctivity and Business Processes, and some non-cloud services, we have the following subdivision: products and cloud server services have grown by 30%, while Azure grew by 62%.
The last category More Personal Computing, basically the division that grinds the highest turnover absolutely. Here he comes back Windows OEM, which grew 18% thanks to last year's limited supply of chips: Pro license sales up 26%while growth was 4% in revenue from non-Pro licenses. According to Microsoft, the end of Windows 7 support in January 2020 has affected these numbers.
Products Windows Commercial, and related cloud services, grew 25% thanks to Microsoft 365, while revenue from the Surface family saw a 6% increase. On the other hand, the turnover coming from gaming division (-21%): Xbox services and content dropped 11%. The fault: the excellent last quarter of 2018, with the results that had been drugged by the success of Fortnite. Finally, the turnover from advertising in research grew by 6%.
Following the disclosure, Microsoft 's share price jumped to all-time highs, with a value per single share of 173.99 dollars and + 3% compared to the previous closing of the markets. At the time of writing, the value of the single share stabilized at $ 172.78 with a capitalization of $ 1.32 trillion.
