Tag Archives: msft

Microsoft Surface business is profitable now

While Microsoft refashions itself as a productivity and platforms company, it’s also keeping a close eye on profits. A key sign of that was the company’s announcement late Thursday that its Surface tablet business was profitable in the September quarter. Microsoft (MSFT) is estimated to have lost $1.7 billion on Surface from its October 2012 launch through the June quarter, according to an analysis by Computerworld. Surface had lost money every quarter. But Microsoft “improved the business economics” of the product in its fiscal Q1, which ended Sept. 30, Microsoft CEO Satya Nadella said on a conference call with analysts. And the gross profit margin for Surface was positive last quarter, Chief Financial Officer Amy Hood announced, though she didn’t offer specifics. “Surface had strong results this quarter, driven by positive customer response to Surface Pro 3,” Nadella said. “The product lineup is the right one, and…

Microsoft Bucks Negative Tech Trend With Q1 Beat

A recovering PC market and emerging cloud-computing businesses gave Microsoft a lift in the September quarter. Microsoft (MSFT) late Thursday reported fiscal first-quarter earnings and revenue that beat Wall Street’s forecasts. The Redmond, Wash.-based company earned 54 cents a share, down 13% from the year-earlier period but better than the 49 cents expected by analysts polled by Thomson Reuters. The profit, however, includes a negative impact of