Microsoft has announced its quarterly results, beating estimates as a result of its strong cloud growth.
As the coronavirus pandemics has swept the globe, companies have been moving to the cloud in record numbers. This has enabled them to remain functional and productive, despite millions of American employees working from home. Microsoft, in particular, has benefited from this thanks to its complete technology stack—from local operating systems and office software, to full cloud platform.
“The last five months have made it clear that tech intensity is the key to business resilience. Organizations that build their own digital capability will recover faster and emerge from this crisis stronger,” said Satya Nadella, chief executive officer of Microsoft. “We are the only company with an integrated, modern technology stack – powered by cloud and AI and underpinned by security and compliance – to help every organization transform and reimagine how they meet customer needs.”
The company’s position helped it hit $38 billion in revenue, an increase of 13% over the year-ago-quarter. Its operating income was $13.4 billion and its net income was $11.2 billion.
“Our commercial cloud surpassed $50 billion in annual revenue for the first time this year. And this quarter our Commercial bookings were better than expected, growing 12% year-over-year,” said Amy Hood, executive vice president and chief financial officer of Microsoft. “As we drive growth across the company, we remain committed to investing in long-term strategic opportunities.”