Microsoft has posted annual sales revenue of $110 billion plus thanks to early investments in the intelligent cloud and intelligent edge with focus on innovation.
Microsoft posted revenue of $30.1 billion (+17 percent) with operating income of $10.4 billion (+35 percent) and net income of $8.9 billion for the fourth quarter ended June 30, 2018.
Redmond, Washington-based software maker has reported annual sales revenue of $110.4 billion (+14 percent) with operating income of $35.1 billion (+21 percent) and net income of $16.6 billion for the fiscal year ended June 30, 2018.
Satya Nadella, chief executive officer of Microsoft, said: “Our early investments in the intelligent cloud and intelligent edge are paying off, and we will continue to expand our reach in large and growing markets with differentiated innovation.”
Revenue for the company’s LinkedIn business and job network grew 37 percent, while its Dynamics 365 online business application suite posted 61 percent increase.
The combination of two services highlights Microsoft’s rise as an alternative to Salesforce.com, which dominates the customer relationship management market, Reuters reported.
Microsoft in Q4
Microsoft generated revenue of $9.7 billion (+13 percent) from Productivity and Business Processes.
Office commercial products and cloud services revenue increased 10 percent driven by Office 365 commercial revenue growth of 38 percent.
Office consumer products and cloud services revenue increased 8 percent and Office 365 consumer subscribers increased to 31.4 million.
LinkedIn revenue increased 37 percent.
Dynamics products and cloud services revenue increased 11 percent driven by Dynamics 365 revenue growth of 61 percent.
Microsoft generated revenue of $9.6 billion (+23 percent) from Intelligent Cloud business in Q4.
Server products and cloud services revenue increased 26 percent driven by Azure revenue growth of 89 percent.
Enterprise Services revenue increased 8 percent.
Microsoft generated revenue of $10.8 billion (+17 percent) from More Personal Computing business.
Windows OEM revenue increased 7 percent driven by OEM Pro revenue growth of 14 percent.
Windows commercial products and cloud services revenue increased 23 percent driven by an increased volume of multi-year deals.
Gaming revenue increased 39 percent with Xbox software and services revenue growth of 36 percent mainly from third party title strength.
Surface revenue increased 25 percent driven by strong performance of the latest editions of Surface against a low prior year comparable.
Search advertising revenue excluding traffic acquisition costs increased 17 percent driven by higher revenue per search and search volume, Microsoft said.