FY19 Q1 - Performance - Investor Relations - Microsoft

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Earnings Release FY19 Q1

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Performance

Revenue increased $4.5 billion or 19%, driven by growth across each of our segments. Intelligent Cloud revenue increased, driven by higher revenue from server products and cloud services. Productivity and Business Processes revenue increased, driven by higher revenue from Office and LinkedIn. More Personal Computing revenue increased, driven by higher revenue from Gaming and Windows.

Operating income increased $2.2 billion or 29%, driven by growth across each of our segments.

Key changes in expenses were:

• Cost of revenue increased $1.6 billion or 20%, driven by growth in commercial cloud and Gaming.

• Research and development expenses increased $403 million or 11%, driven by investments in cloud engineering and LinkedIn.

• Sales and marketing expenses increased $286 million or 8%, driven by investments in commercial sales capacity and LinkedIn.

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

Microsoft Corp (MSFT)

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