Cloud services push Microsoft results sky high
Microsoft beat expectations in its fiscal first quarter results published last night, with revenue up 22 per cent.
First quarter revenue at Microsoft reached $45.3bn (£32.9bn), a figure that surpassed the $43.9bn sum pencilled in by analysts.
The tech giant’s winning results were largely attributed to the success of its cloud-based services, with revenue in the firm’s Intelligent Cloud services hitting $17bn (£12bn), an increase of 31 per cent on last year.
The rising demand for cloud-based services was bolstered by the widespread online shift during the Covid-19 pandemic.
Linkedin revenue also increased 42 per cent, the company reported.
Commenting on the results, Hargreaves Lansdown analyst Sophie Lund-Yates said, “There are some real benefits that come with selling software the world truly doesn’t know how to function without.
“Microsoft has recorded another incredible quarter of revenue growth, and thanks to the capital-light model that comes with selling software, profits have been hauled upwards too.”