Microsoft postes a profit of $20.5 billion in Q1 2017

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Published onOctober 23, 2016

published onOctober 23, 2016

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Microsoft’s earning report for the first quarter of fiscal year 2017 is now out. The company posted a profit of $20.5 billion, with $22.3 billion of that categorized as non-GAP, meaning the tech giant overcame all analyst expectations.

The Surface revenue saw an increase of 38% YoY, mainly due to the success of the Surface Book and theSurface Pro 4. This generated $672 million profit in the Q1 in 2016, a number which grew to $926 million in this fiscal year. Moreover,Microsoftis introducing to the public a new version of the Surface device next week, another opportunity for more revenue.

As expected, the Microsoft Phone series is in steady downfall. It declined by 72% this fiscal year. Even more so, the Xbox is not that successful either, even though the company recently released the Xbox One S model. According to its own reports, the gaming part of their business saw a 5% decline. Less people are now using the Xbox Live — 47 million active users, or 2 million less than how many were using it in the Q4 in 2016 — +but it’s still up from the 39 million YoY.

Microsoft’s cloud business is also on the rise with an increase in profit of 8%. At the same time, Azure revenue is up by 116% while the company’s server and cloud services increased by 11%. Other products, like Office, saw a growth of 5%, while Office 365 increased by 51%.

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With KB5043178 to Release Preview Channel, Microsoft advises Windows 11 users to plug in when the battery is low

Copilot in Outlook will generate personalized themes for you to customize the app

Microsoft will raise the price of its 365 Suite to include AI capabilities

Death Stranding Director’s Cut is now Xbox X|S at a huge discount

Outlook will let users create custom account icons so they can tell their accounts apart easier

Microsoft postes a profit of $20.5 billion in Q1 2017