Microsoft reports Q1 FY20 earnings, beats analyst estimates with $33.1 billion revenue

Microsoft today reported its financial results for the quarter ended September 30, 2019.

Microsoft’s sales numbers were ahead of analysts estimates, EPS was $1.38 against the estimate of $1.24 and the revenue was $33.1 billion against the estimate of $32.24B. Operating income was $12.7 billion and it increased 27%. Net income was $10.7 billion GAAP and increased 21%.

As expected, solid financial results were driven mainly by Office 365 and Azure cloud services. Surface revenue was down by few percentage points while the Xbox revenue largely remained flat.

“The world’s leading companies are choosing our cloud to build their digital capability,” said Satya Nadella, chief executive officer of Microsoft. “We are accelerating our innovation across the entire tech stack to deliver new value for customers and investing in large and growing markets with expansive opportunity.”

“It was a strong start to the fiscal year with our commercial cloud generating $11.6 billion in revenue for the quarter, up 36% year over year,” said Amy Hood, executive vice president and chief financial officer of Microsoft.

Source: Microsoft