Microsoft tops 4Q profit forecasts
Jul. 19, 2016
REDMOND, Wash. (AP) — Microsoft Corp. (MSFT) on Tuesday reported fiscal fourth-quarter net income of $3.12 billion, after reporting a loss in the same period a year earlier, when the company took a wrote down a substantial portion of its struggling smartphone business.
The Redmond, Washington-based company said it had profit of 39 cents per share. Earnings, adjusted for non-recurring costs and asset impairment costs, were 69 cents per share.
The results surpassed Wall Street expectations. The average estimate of 13 analysts surveyed by Zacks Investment Research was for earnings of 58 cents per share.
The software maker posted revenue of $20.61 billion in the period, or $22.6 billion after adjusting for revenue that was deferred because of a change in the way Microsoft distributes software updates. Eight analysts surveyed by Zacks expected adjusted revenue of $22.11 billion.
Microsoft shares have dropped slightly more than 4 percent since the beginning of the year, while the Standard & Poor's 500 index has increased almost 6 percent. In the final minutes of trading on Tuesday, shares hit $53.09, an increase of 13 percent in the last 12 months.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on MSFT at http://www.zacks.com/ap/MSFT
Keywords: Microsoft, Earnings Report, Priority Earnings