Microsoft Q4 FY18 Earnings: Surface revenue was $1.18 billion, up 25% YoY

Microsoft today reported its Q4 FY18 earnings results with strong revenue and operating income, thanks to the continued growth of Microsoft Cloud. Microsoft mentioned in their earnings report that the Surface revenue grew 25% YoY (21% in constant currency). The revenue was $1.185 billion, and this is the fourth consecutive quarter for Microsoft to hit billion dollar revenue with Surface hardware sales. Microsoft mentioned that increased revenue was because of strong performance of the latest Surface devices when compared to last year. Surface sales also contributed to the gross margin growth of More Personal Computing division inside Microsoft.

With the Surface Go launch in August and the upcoming Back to School season, we can expect strong growth from Surface in the on-going quarter.