Scalper1 News
Microsoft stock rallied Friday after the company reported December-quarter results that soundly beat expectations for sales and earnings. But the company’s new financial reporting scheme obscured how its major products performed. The new reporting structure lumps disparate products and services into two larger categories: “Devices and Consumer” and “Commercial.” Those categories are subdivided into hardware, licensing and “other” for Devices and Consumer, and licensing and “other” for Commercial. Previously, Microsoft (MSFT) reported results in five business divisions: Windows, server and tools, online services, business software, and entertainment and devices. It started using the new reporting scheme this fiscal year, which began July 1. “It makes it more difficult to peel away the onion,” FBR Capital Markets analyst Daniel Ives said. “It’s more qualitative. But at least now they are breaking out the business the way they operate.” Morningstar analyst Norman Young says Microsoft’s new reporting structure is good in that… Scalper1 News
Scalper1 News