FY19 Q2 - Performance - Investor Relations - Microsoft

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Earnings Release FY19 Q2

NarrativePower BI


Revenue increased $3.6 billion or 12%, driven by growth across each of our segments. Intelligent Cloud revenue increased, driven by server products and cloud services. Productivity and Business Processes revenue increased, driven by Office and LinkedIn. More Personal Computing revenue increased, driven by Surface and Gaming.

Operating income increased $1.6 billion or 18%, driven by growth across each of our segments.

Key changes in expenses were:

Cost of revenue increased $1.4 billion or 12%, driven by growth in commercial cloud and Surface.

Research and development expenses increased $566 million or 16%, driven by investments in cloud engineering.

Sales and marketing expenses increased $26 million or 1%, driven by investments in commercial sales capacity, offset in part by a decrease in marketing.

IMPORTANT NOTICE TO USERS (summary only, click here  for full text of notice); All information is unaudited unless otherwise noted or accompanied by an audit opinion and is subject to the more comprehensive information contained in our SEC reports and filings. We do not endorse third-party information. All information speaks as of the last fiscal quarter or year for which we have filed a Form 10-K or 10-Q, or for historical information the date or period expressly indicated in or with such information. We undertake no duty to update the information. Forward-looking statements are subject to risks and uncertainties described in our  Forms 10-Q and 10-K.

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Information contained in these documents is current as of the earnings date, and not restated for new accounting standards