Microsoft’s Impressive Financial Results in Q2 FY2024

Microsoft has recently released an astonishing financial report for the second quarter of the fiscal year 2024. The company garnered a revenue of $62 billion, indicating an 18 percent increase compared to the previous year. Additionally, Microsoft achieved a profit of $21.9 billion, representing a remarkable 33 percent growth. However, the most captivating aspect of this quarter lies in the impact of the acquisition of Activision Blizzard for $68.7 billion on this trillion-dollar corporation.

Instead of providing specific numerical data, Microsoft states that the overall revenue from the gaming-related business has surged by 49 percent, with 44 percentage points directly resulting from the “net impact” of the Activision agreement. Microsoft’s “Personal Technology Usage” segment, which encompasses Xbox, Surface, and Windows operating system, experienced a 19 percent growth ($16.9 billion) compared to the previous year. The company claims that the Activision deal is responsible for 15 percentage points of this growth. This signifies a monumental shift for a division that has been severely affected by declining personal computer sales (which influence Windows licenses and Surface devices) as well as challenges associated with Xbox consoles. While computer hardware revenues decreased by 9 percent this quarter, Xbox hardware sales recorded a 3 percent growth.

The revenues from Xbox content and services also skyrocketed by 61 percent in comparison to the previous year, with 55 percentage points arising from the Activision acquisition. It will be intriguing to witness whether Microsoft will capitalize on this acquisition to boost Xbox sales or gain greater interest in Game Pass subscriptions. Unfortunately, no updates regarding the development of the service are currently available.

Frequently Asked Questions

The source of the article is from the blog japan-pc.jp