April 25, 2024 Microsoft’s calendar Q1 2024 revenue (its FY24 Q3), net income and EPS are all up double digits. How is it possible a company that big can still grow that much? Let’s delve into how they made it happen.
Productivity and Business revenue $19.6 B, up 12%
Intelligent Cloud, $26.7 B, up 21%. Within this group, Azure revenue grew 31%.
Personal Computing $15.6 B, up 17%. Windows is up 11%. Xbox content and services up 62%. Devices revenue is a weak spot, down 17%.
Satya Nadella, chairman and CEO of Microsoft says, “Microsoft Copilot and Copilot stack are orchestrating a new era of AI transformation, driving better business outcomes across every role and industry.” Microsoft Cloud business revenue up $35.1 B, up 23%.
AI is able to create value for business customers and they turn to Microsoft to leverage AI through its new Copilot and Azure LLM, GPU compute and cloud services.
Microsoft gave back $8.4B to shareholders through share erepurchases and dividends.
https://www.microsoft.com/en-us/investor/earnings/fy-2024-q3/press-release-webcast
Outlook for next quarter FY24 Q4 ( Calendar Q2 2024): https://view.officeapps.live.com/op/view.aspx?src=https://c.s-microsoft.com/en-us/CMSFiles/OutlookFY24Q3.pptx
Productivity and Business Processes, revenue $19.9B to $20.2B
Intelligent Cloud: $28.4B to $28.7B
More Personal Computing: $15.2B to $15.6B