Microsoft has announced
record earnings for the quarter ending Dec 31, 2011. Sales of Xbox
360 and Kinect were mentioned as “compelling” drivers in a
holiday season that capped off the quarter with an overall
company-wide revenue of $20.89 billion, 5% up on the same period
last year. “In addition to the continued strength of our commercial
business,” said COO Kevin Turner, “this holiday season was the
strongest in Microsoft history.”
While the company saw growth
in its Microsoft Business, Server & Tools and Online Services
divisions (with only Windows & Windows Live posting a decline),
the biggest surge was seen in the Entertainment & Devices
Division, which posted a 15% revenue increase over the holiday
quarter for 2010. Turner attributed much of the company's positive
results to “good sales execution and compelling products like Xbox
360 and Kinect,” devices for which Microsoft boasts install bases
of 66 million consoles and 18 million sensors respectively.
In light of the unexpectedly
positive quarter, the company's posted revised expense projections
for the next year, with expected operating expenses down $400,000.
It'll be interesting to see whether the company can convert the past
quarter's high uptakes into continued growth, both within the Xbox
division and from new product lines.