Microsoft sees a Rise in Revenue due to Office, Surface and Cloud Services

Microsoft today in a report reported their fiscal earnings of first quarter of 2017. The report states total revenue of $20.5 billion and a net income of $4.7 billion. The majority of this income comes from Office and Cloud Services by the firm.

In-Depth Analysis

Today in a report by Microsoft their fiscal earning of the first quarter of 2017 were listed. With total revenue of $20.5 billion and a net income of $4.7 billion Microsoft stated a vast rise in company’s assets this year. The majority of the revenue comes from the Office and the Cloud based services powered by Microsoft. Talking about the percentile of the growth of revenue, Microsoft Office’s commercial revenue grew up to 5 percent, while when it comes to consumer revenue, then it was up by 8 percent in the present scenario.

But the major revenue growth was seen in the cloud based services, the so called, “intelligent cloud” rose up by 8 percent in total revenue, while the “Azure’s” revenue saw a major boom and grew up by 116 percent which is very high I must say but that’s not the end to the talk we also have server revenue in the race that also saw an upward position by 11 percent.

Revenue from Microsoft Azure Increases

Microsoft has given up on phone hardware this year when its contract with Nokia ended, and after that the phone revenue is constantly decreasing. You won’t be shocked if I tell you that in this quarter itself phone revenue dropped down by a massive 72 percent and is expected to decrease even more in coming quarters.

microsoft surface devices generated $926 million in revenue
microsoft surface devices generated $926 million in revenue

Surface once again turned out to be a good investment in Microsoft’s earnings. Talking about Surface’s revenue then it was hit by a massive $926 million in the quarter which is a great rise as it was around $672 million last year.

According to sources, it is being said that the Surface Pro 4 and the Surface Book combined would have helped pull this much of revenue.


And as the new All In One (AIO) Surface Pc is going to launch we can expect even more mind boggling revenue list in the next quarter. Seeing all the revenue hits even firm’s stocks saw a rise in their value, Microsoft’s stock jumped above $60 mark, for the first time since they saw any rise in December, 1999.

I’ll be keeping an edge to edge eye on the topic and would update the article whenever more inputs would be received.


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