Microsoft Reports Record Revenue
Microsoft announced revenue of $11.84 billion for the quarter ended December 31, 2005, a 9% increase over the same period of the prior year, marking the highest quarterly revenue in the company’s history. Net income for the quarter was $3.65 billion, which grew 5% from $3.46 billion for the same quarter of the previous year. Diluted earnings per share for the quarter were $0.34. Net results included $108 million, or $0.01 per share, in tax benefits.
Server and Tools revenue grew 14% over the prior year on strength across the product line. The growth of SQL Server was robust with over 20% year over year revenue growth.
The Home and Entertainment division, the Xbox Group, lost $293 million in the quarter
Demand for our desktop and server products from enterprise customers was particularly strong this quarter with significant sales and customer momentum from our recently launched server products,” said Kevin Turner, chief operating officer at Microsoft. “We recently conducted our annual customer satisfaction survey and remain committed to driving satisfaction improvements. Our customers are responding very favorably to the value, quality, and improved security of our new product releases.