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Microsoft releases Q4 2016 financials, cloud services are key

Microsoft released its statements for Q4 2016 on Thursday. (Source: Microsoft)
Microsoft released its statements for Q4 2016 on Thursday. (Source: Microsoft)
Office 365 continues to pay off for the Redmond tech giant as cloud services were the greatest contributor to revenue.

Microsoft released their financial statement for Q4 of 2016 (their FY 2017 Q2) on Thursday. Revenue rose by about 1.2% from the same quarter last year. While some divisions (such as cloud services) recorded significant growth, other expenses and losses flattened revenue as a whole.

The star performer was the Redmond giant’s Office Consumer Products division, which saw a 22% YoY jump in revenue. Most of this was due to cloud products like Office 365. The online-based productivity suite saw subscribers increase to a total of 24.9 million. On the commercial side, Office 365 generated a massive growth in revenue of 47%. Cloud services saw gains across the board and were the primary driver of growth for the quarter.

Slowing phone sales contributed to a 5% drop in revenue for personal computing devices, as did a drop in gaming revenue due to lower Xbox console revenue.

Microsoft’s purchase of LinkedIn, which was finalized on December 8 of 2016, has already generated revenue of $228 million during the period between the acquisition date and EoQ (December 31, 2016). Total revenue for the quarter was $24.1 billion, adjusted to $26.1 billion when accounting for deferred Windows 10 revenue.

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> Notebook / Laptop Reviews and News > News > News Archive > Newsarchive 2017 01 > Microsoft releases Q4 2016 financials, cloud services are key
Sam Medley, 2017-01-29 (Update: 2017-01-29)
Sam Medley
Sam Medley - Review Editor - @samuel_medley
I've been a "tech-head" my entire life. After graduating college with a degree in Mathematics, I worked in finance and banking a few years before taking a job as a Systems Analyst for my local school district. I started working with Notebookcheck in October of 2016 and have enjoyed writing news articles and notebook reviews. My areas of interest include the business side of technology, retro gaming, Linux, and innovative gadgets. When I'm not hunched over an electronic device or writing code for a new database, I'm either outside with my family, playing a decade-old video game, or sitting behind a drum set.