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Microsoft racks up best quarter since 1999

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Microsoft made revenues of $13.76bn in the three months ended 30 September 2007, an increase of 27 per cent on the same period last year.

Net income was $4.29bn, up from $3.48bn in the same three months of 2006.

The company credited good consumer sales of Vista and sales of Halo for its success.

Chief finance officer Chris Liddell said it was an outstanding start and the company's fastest revenue growth since 1999.

The client division brought in $4.1bn, servers and tools made $2.9bn, and the firm's online services business turned over $671m. Online services made another loss this quarter, $264m compared to a loss of $102m in the same period last year. The Microsoft business division saw revenues of $4.1bn and the entertainment and devices division made revenues of $1.9bn

The news sent Microsoft shares to a six year high in after market trading - up 10 per cent on the day.

Looking forward, Microsoft predicts revenue of between $15.6bn and $16.1bn for the quarter ending 31 December 2007 and operating income of between $5.9bn and $6.1bn.

The Microsoft earnings release is here. ®

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