Microsoft (MSFT) shares climbed 5% on earnings and revenue beat expectations, Intelligent Cloud and Productivity and Business Processes up, Personal Computing down, focus on AI.
Microsoft (MSFT) reported strong fiscal second-quarter earnings that surpassed expectations, with revenue of $52.7B and earnings of $2.32 a share, excluding one-time items. Wall Street analysts had forecast the company to earn $2.31 a share on $53.2B in revenue. Revenue was up 2% from a year ago, with Intelligent Cloud revenue rising 18%, and Productivity and Business Processes increasing 7%. More Personal Computing revenue fell 19% from a year ago, to $14.2B.
Microsoft’s (MSFT) CEO Satya Nadella hinted at the company’s future focus, with a statement that they were developing platforms and tools so that customers could “do more with less today and innovate for the future in the new era of AI.” This was further confirmed with Microsoft’s (MSFT) announcement of a “multiyear, multibillion dollar” investment in ChatGPT developer OpenAI.
Microsoft (MSFT) shares rose 5% in after-hours trading Tuesday, as investors responded positively to the strong quarterly earnings and the company’s future focus on AI. This is a sign of confidence in the company’s prospects and in their ability to continue to innovate and grow.
Microsoft (MSFT) has positioned itself well for the future, with its focus on AI, investments in OpenAI, and strong quarterly earnings. The company’s strong performance and focus on the future has been rewarded by investors, as Microsoft (MSFT) shares rose 5% in after-hours trading Tuesday. This is a sign of confidence in the company’s prospects and in their ability to continue to innovate and grow. With its focus on AI, investments in OpenAI, and strong quarterly earnings, Microsoft (MSFT) is well-positioned for the future.
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