The financial results of Microsoft for FY16 are out and reveals a strong quarter for Windows. As expected, the phones business is declining due to weak sales and no new models released in the quarter.


Satya Nadella, the CEO of Microsoft was all praises about the cloud business and explained that the company is continuously innovating and this supports what he calls “the digital transformation.”

“This past year was pivotal in both our own transformation and in partnering with our customers who are navigating their own digital transformations,” said Satya Nadella, chief executive officer at Microsoft. “The Microsoft Cloud is seeing significant customer momentum and we’re well positioned to reach new opportunities in the year ahead.”

Following are the Microsoft’s result for the quarter ended June 30, 2016:

Revenue was $20.6 billion GAAP, and $22.6 billion non-GAAP

Operating income was $3.1 billion GAAP, and $6.2 billion non-GAAP

Net income was $3.1 billion GAAP, and $5.5 billion non-GAAP

Diluted earnings per share was $0.39 GAAP, and $0.69 non-GAAP

The Productivity and Business Processes division increased their revenue by 5 percent to no less than $7 billion. Office consumer products and cloud services pioneered the growth with 19 percent. The company reported 23.1 million Office 365 consumer subscribers at this point.

The intelligent cloud and Azure services revenue doubled this quarter with an increase of 102%.

Personal Computing unit saw a loss of 4 percent and dropped to $8.9 billion, but Windows still increased by 27 percent. The Surface unit too saw an increase of 9% thanks to Surface book and Surface Pro 4.

Overall FY16 paints a nice picture for Microsoft in the coming future.


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