In its fiscal fourth quarter, Microsoft reported 55 cents per share on revenue of $23.4 billion, an 18% increase from a year earlier. Analysts polled by Thomson Reuters expected earnings of 60 cents per share on $22.99 billion in revenue. Two billion dollars in revenue came from the company’s Nokia acquisition. Revenue from Microsoft’s Bing search engine, which now holds a 19% US market share, grew 40% year-over-year. In commercial cloud computing, one of the most important parts of CEO Satya Nadella’s turnaround plan, revenue grew 147%.
Wall Street, however, was largely unmoved by the numbers: Microsoft stock rose only 0.1% on Wednesday, closing at $44.87. Analysts were bullish going into the report; for example, Goldman Sachs analyst Heather Bellini wrote that Nadella was planning “exactly the type of reimagining that must occur for Microsoft to thrive in the mobile-first world.”
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