Microsoft Hits US$100bn For The First Time From Cloud Customers
Microsoft’s has hit US$100bn in yearly revenue for the first time in the company’s history due to a surge in customers for its cloud-based services.
Its yearly revenue came in at US$110.4bn an increase of 14 per cent, operating income was US$35.1bn and increased 21 per cent and net income was US$16.6bn GAAP and US$30.3bn non-GAAP.
Office consumer products and cloud services revenue increased 8 per cent with Office 365 consumer subscribers increased to 31.4 million.
The growth has come from customers adding in cloud services who already have Microsoft software in their data centres.
Its revenue for the fourth quarter increased 17 per cent to US$30.1bn, its operating income came in at US$10.4bn an increase of 35 per cent. Its net income was US$8.9bn GAAP and US$8.8bn non-GAAP.
Revenue in Productivity and Business Processes came in at US$9.7bn and increased 13 per cent. Its office commercial products and cloud services revenue jumped 10 per cent driven by Office 365 commercial revenue growth of 38 per cent.
Revenue in Intelligent Cloud was US$9.6bn, an increase of 23 per cent and revenue in more personal computing was US$10.8bn up by 17 per cent.
Satya Nadella, chief executive officer of Microsoft says, “We had an incredible year, surpassing US$100bn in revenue as a result of our teams’ relentless focus on customer success and the trust customers are placing in Microsoft.
“Our early investments in the intelligent cloud and intelligent edge are paying off, and we will continue to expand our reach in large and growing markets with differentiated innovation.”
Amy Hood, EVP and CFO at Microsoft says, “Exceptional sales execution delivered double-digit revenue growth across all segments and strong progress against our strategic priorities, anchored by commercial cloud revenue growing 53% year-over-year to $6.9 billion.”
Read the full results here.