A new record quarter for Microsoft, driven by cloud, Windows and video games

Market expectations were very high after some fantastic quarters. But the publisher still beat analysts ’estimates showing the last quarter of 2021 with a quarterly profit of 18.8 billion dollars for a turnover of 51.7 billion dollars!

All the lights are green for Microsoft whose three major divisions (Intelligent Cloud, Productivity & Business Processes, More Personal Computing) posted double-digit growth in the last quarter of calendar year 2021, the second fiscal its quarter of the fiscal year. 2022.

The company announced the overall growth of 20% of its turnover (to reach $ 51.7 billion) and of 21% of its pipe (which ascends to $ 18.8 billion) in the quarter compared to the same quarter of 2020.

Digital is the world’s easiest resource for dealing with barriers and rethinking daily routine and life.“Said Satya Nadella, president and CEO of Microsoft.” As the share of technology in global GDP continues to grow, we innovate and invest in diverse and growing markets, with a common underlying technology stack and operational model that reinforces a common strategy, culture and a common sense of purpose. . »

In detail, everything is good for Azure and other Microsoft cloud activity. The division ” Smart Cloud (which includes Azure, GitHub but also Windows Server) shows 26% growth with a turnover of $ 18.33 billion. This is the main division of Microsoft today.
Strong commercial execution, represented by strong growth in reservations through long -term commitments for Azure, brought Microsoft Cloud revenue to $ 22.1 billion, up 32% from last year », explains Amy Hood, executive vice-president and chief financial officer of Microsoft that it does this by regrouping activities that are somewhat different from the official presentation by linking all of Azure and other Cloud services. editor. However, analysts were disappointed with these presentations that were too consistent with their forecasts because they predicted 18.3 billion dollars for this division. Similarly, they expected a 46% increase in Azure, and again they were accurate, emphasizing passing on the fact this is the first time in a long time that Azure’s growth will not exceed 50%. This remains logical, however, as the cloud market has now reached a certain level of maturity.

The division ” Productivity and Business Processes which includes Office, Dynamics and Linkedin, grew 19% with a turnover of $ 15.9 billion. Enterprise editions of Office 365 grew 19% and consumer editions by 15% (to reach 56 million non-enterprise users). Incidentally, we note that Microsoft announced today 270 million active users of Teams every month.
LinkedIn had a good quarter with growth of 37%, as did Dynamics 365, whose revenues jumped 45%.

Finally the division More Personal Computing »Which includes Windows, Surface and Xbox are also in good health, driven by year -end sales. It reached a turnover of 17.5 billion dollars this quarter, with growth of 19% a year.
The Windows division wins 25% driven by great PC sales in 2021, and believes the Xbox division 10%. Even the Surface division is showing growth of 8%. Coincidentally, Microsoft has delivered an interesting new figure: Windows 10 and 11 combined now have more than 1.4 billion active users every month !

In fact, the pandemic crisis will be beneficial to all group activities. The Cloud and Productivity divisions are inspired by the acceleration of digital transformation. The PC and Xbox division was fueled by the incarcerations.
However, the company also sees increasing challenges. Still not very vibrant in the mobile world, the publisher must also face strong competition in all its markets, the rise of Google Cloud, movements in Europe towards sovereign clouds, competition from Google Workspace and open source offer, Apple’s success with its M1 processors boosting sales of Macs, the lack of parts, etc. That is why it is forbidden to rest on oneself …

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