Corporate customers boost Microsoft's Q1 profit
Microsoft, the world's largest software maker, reported a first-quarter profit that was higher than analysts predicted as corporate customers stepped up purchases of computers and programs.
Earnings rose to $5.4bn (€3.8bn), or 62 cents a share, Redmond, Washington-based Microsoft said in a statement. That compares with $4.8bn, or 55 cents, the average estimates in a Bloomberg survey of analysts.
Orders for the company's new Office software and other products aimed at corporations made up for lacklustre purchasing by households.
Microsoft follows vendors such as Intel and Texas Instruments in highlighting rising demand from companies, as consumers delay electronics purchases.
Sales rose to $16.2bn last quarter. Analysts had projected sales of $15.8bn for the period that ended September 30. At least six analysts have lowered profit estimates in the last month amid concerns about weak PC buying.
Operating expenses for the year ending June 30 will be $26.9bn to $27.3bn.