Microsoft Registers $19.95 Billion in Revenue Last Quarter

Thanks to robust sales of its software Office 2010 and its gaming motion sensing device Kinect, software giant Microsoft enjoyed a stronger quarter with revenues topping $19.95 billion. By comparison to the same quarter from the year before, the new figure marked a 5% jump. As for quarterly profits, Microsoft reported $6.63 billion, a very slight drop of 0.45% compared to the previous year’s quarter.

The revenue jump was pretty much driven by the company’s Entertainment & Devices division which handles Xbox 360 consoles, Xbox LIVE and first-party games. Among the division’s top achievements is the Kinect (priced at $149.99), which sold over five million units worldwide as of December 31, 2010 and was quickly bought by casual gamers as well as people who suddenly gained interesting in video gaming. Microsoft’s games for the Kinect, including Kinectimals and Kinect Sports, also sold well worldwide. The Entertainment & Devices division grew 55% for the entire year. Shipments of Kinect have reached 8 million shortly after the start of the year.

On computer software, Office 2010 was no less a stellar hit for the company. Its sales easily outpaced Office 2007 by a whopping 50% in the same amount of time it took presence in the market. Released in multiple versions, Office 2010 contains updated editions of Word, Excel, PowerPoint and other known applications, as well as new features such as the Outlook Social Connector (which allows users to connect to their favorite social networks inside the application). Businesswise, Microsoft is doing well and analysts are confident the company will continue to deliver strong performances.

  • Written by Julius
  • Category: Companies

Consumer Confidence in America Continues to Be Strong

As big name corporations like Microsoft and General Motors (GM) reported solid improvements on their sales and revenues, it is pretty clear that consumer confidence all over America remains strong. Just last month, about 820,000 cars and trucks were bought by consumers and the figure marks a 17% leap over what was sold in the same month from 2009. Not only that, a bull run in stock market is making waves around the world as more companies reported strongly positive results of their respective businesses.

In a private sector report released recently, economists stated that there is a rising tide of optimism among consumers as well as improved labor conditions. In another report, the Conference Board reported that its consumer index reached a score of 60.6 as of last month. The figure is a remarkable improvement over the 53.3 rating reported last December. Recently, the National Association for Business Economics indicated that the number of business firms planning to hire more employees is now at a 12-year high based on their survey.

The improved consumer confidence of the last several months is not just benefiting businesses. In fact, state tax revenues in the 4th quarter of 2010 jumped by around seven percent based on a study that covered 41 states. If the reported revenues continue that pace with the inclusion of more states, they would most likely end up as the strongest gains since the 2nd quarter of 2006. Still some skeptics believe that the high riding consumer confidence will weaken somewhat if unemployment worsens and global oil prices spike.

  • Written by Julius
  • Category: Companies