Microsoft reports $23.5 billion in revenue but misses Wall Street expectations

Microsoft announced quarterly earnings Thursday afternoon, with earnings that beat expectations, while revenues just missed Wall Street consensus estimates.

The company reported $23.5 billion in revenue and earnings of $0.73 per share. Financial analysts had expected $23.6 billion in revenue and earnings of $0.70. Shares were down roughly 1.5 percent in after-hours trading.

Here are the company’s three business segments and their respective revenues:

• Productivity & Business Processes — $7.96 billion (up, driven by LinkedIn and Office 365)
• Intelligent Cloud — $6.76 billion (up)
• More Personal Computing — $8.84 billion (down)

LinkedIn contributed $975 million in revenue to Productivity & Business Processes.

More Personal Computing was the source of the revenues miss and was down 7 percent overall. In particular, Surface revenue was off a surprising 26 percent. However, Windows OEM revenue grew 5 percent. Search ad revenue was up 8 percent. 

More detail, including the earnings slides, available here.

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