Feeds

Microsoft profits fall in Q1

No more money for Yahoo! bid

Choosing a cloud hosting partner with confidence

Xbox fans helped propelled Microsoft's business during its latest quarter as the repercussions of last year's Windows Vista launch continued to be felt.

For the three months to March 31, Microsoft reported a 10.9 per cent drop in net income to $4.3bn, factoring in the EU's anti-trust fine of $1.42bn, on revenue that grew less than one percentage point to $14.45bn. Earnings per diluted share also fell three cents thanks to the EU penalty, hitting $0.47

The company on Thursday announced a 67 per cent increase in sales of Xbox 360s, producing $1.6bn revenue for its entertainment and devices division.

That compared to the PC client business which increased revenue by 16 per cent, server and tools by 18 per cent, and the business division that declined by nine per cent. Revenue from Microsoft's online services greweight per cent.

In a conference call chief financial officer Chris Liddell hailed the strength of Microsoft's diversified portfolio. He also said the company had no intention of increasing its unsolicited offer for Yahoo!. But the company said that the sales bump from Windows Vista in the same quarter last year made comparisons hard.

Also, it emerged that OEM license revenue was down 24 per cent to $4bn, as PC manufacturers appear overstocked on Windows-Vista machines or are wary of buying new licenses, given the cool public reception to Windows Vista and uncertainty created by Microsoft's will-they-won't extension to Windows XP.

Microsoft claimed 140 million licenses of Windows Vista sold.

Security for virtualized datacentres

More from The Register

next story
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
US court SHUTS DOWN 'scammers posing as Microsoft, Facebook support staff'
Netizens allegedly duped into paying for bogus tech advice
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
Verizon bankrolls tech news site, bans tech's biggest stories
No agenda here. Just don't ever mention Net neutrality or spying, ok?
NATO declares WAR on Google Glass, mounts attack alongside MPAA
Yes, the National Association of Theater Owners is quite upset
Inside the EYE of the TORnado: From Navy spooks to Silk Road
It's hard enough to peel the onion, are you hard enough to eat the core?
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
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.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.
Mitigating web security risk with SSL certificates
Web-based systems are essential tools for running business processes and delivering services to customers.