SAN FRANCISCO (AFP) – Microsoft on Thursday reported that its quarterly net profit soared on record-high revenue as businesses continued buying new computers and gamers snatched up Xbox 360 videogame consoles.
The US technology titan said it made a net profit of 5.41 billion dollars on unprecedented revenue of 16.2 billion dollars in the first quarter of its fiscal year.
The 51 percent surge in net profit amounted to 62 cents per share, besting Wall Street predictions. Microsoft stock quickly rose 1.9 percent to 26.78 dollars in trading that followed the release of the earnings figures.
“This was an exceptional quarter, combining solid enterprise growth and continued strong consumer demand for Office 2010, Windows 7, and Xbox 360 consoles and games,” said Microsoft chief financial officer Peter Klein.
Microsoft reported year-over-year growth in all its business divisions. The technology giant said that it continued to see a “healthy and sustaining” pattern of businesses buying new computers in a positive sign for the economy.
“We are seeing improved business demand and adoption,” said Microsoft chief operating officer Kevin Turner.
Demand for Microsoft software offered as services in the Internet “cloud” also continued to grow, according to Turner.
Sales of Microsoft Xbox 360 videogame consoles were up 38 percent from the same quarter last year and the firm’s Bing search engine was gaining market share with the consummation of a partnership with Yahoo!.
Microsoft and Yahoo! reached an agreement last year which calls for the US software giant’s Bing search engine to eventually power searches at all Yahoo! websites.
Bing powers online searches at Yahoo! web pages in North America, and Microsoft’s adCenter this week began powering all paid search advertisements on Bing and Yahoo! partner sites and publisher networks in that region.