Microsoft Achieves Record Revenue

    January 25, 2007

Microsoft, on the precipice of launching Vista to the public, released record revenue reports today of $12.54 billion for the last quarter of 2006, which figured to be a 6% increase over the same period of the prior year.

Operating income, net income and diluted earnings per share for the quarter were $3.47 billion, $2.63 billion and $0.26, respectively.

“Results this quarter exceeded our expectations across the board, with revenue growth at or above our high end guidance for all divisions,” said Chris Liddell, chief financial officer at Microsoft. “Healthy PC and server markets as well as broad-based business and consumer demand for Microsoft offerings fueled revenue growth this quarter.”

“The execution of our field sales and marketing teams were a major contributor to this quarter’s extremely positive results,” said Kevin Turner, chief operating officer at Microsoft.

“Customers have responded positively with strong contract renewals and license sales. We are pleased with such strong financial results and look forward to making Windows Vista and the 2007 Microsoft Office system widely available to all customers next week.”

Many major companies have released fourth quarter results this week, but most figures pale in comparison to the kind of revenues that Microsoft seems to be generating on the back of its continued dominance of the operating system and office suite market sectors.

Due to these figures, Microsoft predicts first quarter revenue estimates of nearly $14 billion, and end of fiscal year revenues in the neighborhood of $50.2 to $50.7 billion.

I’m wondering though, when you’re talking about figures like $50.2 and $50.7 billion, does the extra half billion really make that much of an impact. It seems like the difference between having 500 rooms in your house as opposed to 475; either way, you’re still living in a mansion.

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Joe is a staff writer for WebProNews. Visit WebProNews for the latest ebusiness news.