Microsoft: 18% revenue increase last quarter

Microsoft: 18% revenue increase last quarter

Microsoft’s revenue rose 18% last quarter as demand for its server and cloud services increased, according to third-quarter results. Microsoft Azure and its online Office versions have insulated the software maker from ongoing supply chain issues, CEO Satya Nadella said.

Microsoft reported revenue of $49.4 billion and net income of $16.7 billion for the quarter ended March 31, beating analysts‘ estimates.

Azure, the company’s cloud computing service, posted 46% growth, beating forecasts. Microsoft is the second-largest cloud infrastructure provider after Amazon.

The company’s personal computing business, which includes Windows and Xbox, grew 11% in the third quarter. Nadella pointed out that Windows 11 is being adopted faster by enterprise customers than previous versions.

Revenue from games, including Xbox hardware and content, rose 6% to $3.74 billion. Nadella said 10 million people have now streamed games from Microsoft’s cloud.

For the current quarter, Microsoft expects revenue of $52.4 billion and $53.2 billion, in line with estimates. The Ukraine war could reduce revenue by $110 million, the software giant said.