Microsoft beats by $0.10, beats on revs
Reports Q2 (Dec) earnings of $0.78 per share, $0.10 better than the Capital IQ Consensus Estimate of $0.68; revenues rose 14.3% year/year to $24.52 bln vs the $23.67 bln consensus.
Devices and Consumer revenue grew 13% to $11.91 billion.
Windows OEM revenue declined 3%, reflecting strong 12% growth in Windows OEM Pro revenue, offset by continued softness in the consumer PC market.
Surface revenue more than doubled sequentially, from $400 million in the first quarter to $893 million in the second quarter.
The co sold 7.4 million Xbox console units into the retail channel, including 3.9 million Xbox One consoles and 3.5 million Xbox 360 consoles.
Bing search share grew to 18.2% and search advertising revenue grew 34%
Commercial revenue grew 10% to $12.67 billion.
SQL Server continued to gain market share with revenue growing double-digits.
System Center showed continued strength with double-digit revenue growth.
Commercial cloud services revenue more than doubled.
Office 365 commercial seats and Azure customers both grew triple-digits.
"Our Commercial segment continues to outpace the overall market, and our Devices and Consumer segment had a great holiday quarter... We significantly outpaced enterprise IT spend as we continue to take share from our competitors by delivering the devices and services our customers need as they transition to the cloud."