Feeds

Microsoft feasts on Vista coupons for record quarter

Profits up 65 per cent

Intelligent flash storage arrays

Microsoft posted a 65 per cent boost in its third-quarter net income thanks in large part to revenue from major new releases and upgrade coupons that promoted them. Both profit and sales for the period that ended in March surpassed analyst estimates.

Shareholders welcomed the results by driving shares up almost five per cent in extended trading. They had already risen 11 cents, or about 0.4 per cent in regular trading before the results were released. With Microsoft in the midst of two major product releases, investors have been eager for signs how Vista and Office 2007 are faring.

"We are delighted with the positive customer response these products have received," Microsoft Chief Operating Officer Kevin Turner said in a statement. There was no mention from Redmond of Dell's recent move to sell PCs running Windows XP due to customer complaints about the new OS.

Profit was $4.9bn, or 50 cents a share, compared with about $3bn or 29 cents in the same period last year. Sales grew 32 per cent to $14.4bn from $10.9bn.

Analysts on average had forecast profit of 46 cents on revenue of $13.9bn.

About $1.7bn of revenue, or 12 cents profit, actually came from the previous quarter when computer buyers snapped up coupons allowing them to upgrade to Vista and Office 2007 once they were released in January.

Microsoft forecast earnings for fiscal 2008, ending in June of next year, of $1.68 to $1.72 on revenue of $56.5bn to $57.5bn, well within the range of analyst expectations. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
I'll be back (and forward): Hollywood's time travel tribulations
Quick, call the Time Cops to sort out this paradox!
Musicians sue UK.gov over 'zero pay' copyright fix
Everyone else in Europe compensates us - why can't you?
Megaupload overlord Kim Dotcom: The US HAS RADICALISED ME!
Now my lawyers have bailed 'cos I'm 'OFFICIALLY' BROKE
MI6 oversight report on Lee Rigby murder: US web giants offer 'safe haven for TERRORISM'
PM urged to 'prioritise issue' after Facebook hindsight find
BT said to have pulled patent-infringing boxes from DSL network
Take your license demand and stick it in your ASSIA
Right to be forgotten should apply to Google.com too: EU
And hey - no need to tell the website you've de-listed. That'll make it easier ...
prev story

Whitepapers

10 ways wire data helps conquer IT complexity
IT teams can automatically detect problems across the IT environment, spot data theft, select unique pieces of transaction payloads to send to a data source, and more.
The total economic impact of Druva inSync
Examining the ROI enterprises may realize by implementing inSync, as they look to improve backup and recovery of endpoint data in a cost-effective manner.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.