Microsoft's Q1 FY22 earnings: Windows Up and Surface Down

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Microsoft’s More Personal Computing has continued to perform strongly, due to continuing demand for Windows and Gaming hardware.

Revenue in More Personal Computing was $13.3 billion and increased 12% (up 11% in constant currency), with the following business highlights:

  • Windows OEM revenue increased 10%
  • Windows Commercial products and cloud services revenue increased 12% (up 10% in constant currency)
  • Surface revenue decreased 17% (down 19% in constant currency)

Surface revenue was likely hampered by the chip shortage, but Microsoft says the main reason for the Year on year decrease was that the same quarter last year was simply too good. Both consumer and commercial installations of Windows continue to grow on strong performance of the rest of the Windows ecosystem, though Microsoft notes that the supply chain continues to be impacted by shortages. Windows 11 marketing also had an impact on expenses.

Read the rest of Microsoft’s results here.

More about the topics: earnings, microsoft, Microsoft Q1 FY22