Microsoft (MSFT) issued its Q2 2023 financial results on Tuesday. The news wasn't particularly bright for the tech giant. While revenue numbers are mostly up, Microsoft did fall short of expectations this past quarter. Revenue was reported for Q2 2023 at $52.75 billion, which is up from the $50.1 billion reported in Q1 2023. However, it falls short of the $52.94 billion that was expected.
Here are the main bulletpoints, taken directly from the Q2 2023 earnings report on the Microsoft website:
- Revenue was $52.7 billion and increased 2%
- Operating income was $20.4 billion GAAP and $21.6 billion non-GAAP, and decreased 8% and 3%, respectively
- Net income was $16.4 billion GAAP and $17.4 billion non-GAAP, and decreased 12% and 7%, respectively
- Diluted earnings per share was $2.20 GAAP and $2.32 non-GAAP, and decreased 11% and 6%, respectively
While Microsoft's total revenue is up 2 percent year-over-year, it's the company's slowest growth rate since 2016. This news comes less than a week after the company laid off 10,000 jobs, including many in the Xbox department. Microsoft's overall outlook appears to be optimistic, as the company turns towards the Microsoft Cloud to push it forward.
"The next major wave of computing is being born, as the Microsoft Cloud turns the world’s most advanced AI models into a new computing platform," Microsoft CEO and chairman Satya Nadella said in Tuesday's earnings report. "We are committed to helping our customers use our platforms and tools to do more with less today and innovate for the future in the new era of AI."
Shares of Microsoft (MSFT) stock fell to $242.04 per share to round out Tuesday, but appear to be on the upswing in after hours trading.
There's going to be more coming out of Microsoft during Tuesday's Q2 2023 earnings call. Be sure to follow the Shacknews Twitch channel to hear everything live or catch it later on the Shacknews YouTube channel to hear everything on demand.