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Cloud, Windows sales power Microsoft earnings above Wall Street estimates

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Microsoft Corp on Wednesday reported fiscal second-quarter revenue and profit th...

FILE PHOTO: Microsoft CEO Satya Nadella addresses a news conference in Berlin, Germany February 27, 2019. REUTERS/Fabrizio Bensch

Microsoft Chief Financial Officer Amy Hood said increased consumption of Azure services, which include offerings such as computing power to run applications and data storage services, drove the increased revenue growth. Commercial cloud gross profit margins - a key measure of cloud profitability that Microsoft has told investors it expects to improve - were 67%, versus 62% the year before.Hood said the company was working to improve margins on its core Azure services, which rely on data centers that can cost billions of dollars to build. She cited “hardware improvements and taking advantage of those hardware improvements.

The shift to the cloud has propelled shares in the world’s largest software company up more than 50% in the past year, as it gains ground against market leader Amazon and also parries the threats to its classic software programs from newer entrants like Alphabet Inc’s Google.

 

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Is Microsoft still in business?

Windows still got it 😂😂 mohamed_anwar83

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