Microsoft earned 72 cents a share on revenue of $20.5 billion in the quarter, up from earnings of $5.1 billion, or 61 cents a share on sales of $17.4 billion the same time last year. Analysts, on average, were expecting earnings of 68 cents a share, according to Thomson Reuters. Revenue came roughly in line with expectations.
The Redmond, WA.-based Microsoft offered a preliminary fiscal year 2014 operating expense guidance of $31.6 billion to $32.2 billion, up 4% to 6% year-over-year from the midpoint of its fiscal 2013 adjusted guidance.
CFO Peter Klein will be leaving Microsoft at the end of the current fiscal year, after nearly four years in the role and 11 years at the company. Microsoft will name a new CFO from its finance leadership team within the next several weeks.
Dell (DELL - Get Report) shares were lower by 3.51% to $13.46 following news private equity firm Blackstone (BX - Get Report) was ending its bid for the PC company, citing weaker trends in the PC space than initially thought.The firm is withdrawing its offer, which valued Dell shares at about $25 billion because of "an unprecedented 14 percent market decline in PC volume in the first quarter of 2013, its steepest drop in history, and inconsistent with management's projections for modest industry growth," according to a letter sent to Dell. Last week, research firm IDC said global PC shipments fell 13.9% in the first quarter, with much of the blame being assigned to weak reception towards Windows 8.
Closing prices: IBM closed down 8.3% to $190 Friday. GOOG rose 4.4% to $799.87, MSFT rose 3.4% to $29.76 but DELL fell 3.9% to $13.40. -- Written by Chris Ciaccia in New York >Contact by Email. Follow @Chris_Ciaccia
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts