Microsoft’s quarterly earnings: things look okay, not great, just okay

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It’s quarter report week for everyone and right on cue Microsoft has released its results. Based on the report, it seems that things are going okay at the Redmond-based giant.

The company reported second quarter revenue of US$21.46-billion, operating income of US$7.77-billion, profit of US$6.38-billion, and diluted earnings of US$0.76 per share.

Late last year, Microsoft made a big splash with its Windows 8 launch calling it a reimagining of Windows 8 and the PC industry.

“Our big, bold ambition to reimagine Windows as well as launch Surface and Windows Phone 8 has sparked growing enthusiasm with our customers and unprecedented opportunity and creativity with our partners and developers,” said Steve Ballmer, chief executive officer at Microsoft.

Things are looking good in the Windows Division with a reported revenue of US$5.88-billion, a 24% increase one the same quarter a year ago. According to the company, it has sold more than 60-million Windows 8 licenses to date.

“With new Windows devices, including Surface Pro, and the new Office on the horizon, we’ll continue to drive excitement for the Windows ecosystem and deliver our software through devices and services people love and businesses need,” adds Ballmer.

The company seems to be thriving in enterprise game also with a reported nine percent increase from the previous year and US$5.19-billion revenue for its server and tools business.

“We saw strong growth in our enterprise business driven by multi-year commitments to the Microsoft platform, which positions us well for long-term growth,” said Peter Klein, chief financial officer at Microsoft. “Multi-year licensing revenue grew double-digits across Windows, server & tools, and the Microsoft business division.”

Microsoft’s business division posted US$5.69-billion of revenue, a 10% decrease from the prior year period.

“We see strong momentum in our enterprise business. With the launch of SQL Server 2012 and Windows Server 2012, we continue to see healthy growth in our data platform and infrastructure businesses and win share from our competitors,” said Kevin Turner, chief operating officer at Microsoft. “With the coming launch of the new Office, we will provide a cloud-enabled suite of products that will deliver unparalleled productivity and flexibility.”

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