Microsoft's Q3 Numbers a Beacon of Hope in Morose Markets

27 October 2008

REDMOND, Washington: With liquidity spilling from its pockets in billions, Microsoft remains supremely untroubled by the global credit crunch, on Friday delivering a heartening set of fiscal first quarter figures.

Bettering Wall Street estimates, the much reviled software colossus reported a 9% revenue increase to $15.1 billion (€11.93bn; £9.53bn) in the three months ended September, comfortably ahead of the $14.8bn expected by analysts.

Although the technology sector as a whole appears to be relatively unscathed by the current economic maelstrom, no-one could accuse Microsoft of PollyAnna-ism.

At the same time as delivering relief from the all-pervading economic gloom, the software-maker cut its financial forecast for the rest of the current fiscal ending June, citing abandoned hopes for an economic upturn in the early part of 2009.

But the latest numbers, says cfo Chris Liddell, show the "strength and diversity of [Microsoft's] business model" amid the economic turmoil. 

The company expects to continue to gain share in the IT market despite the planet's 'ho-hum reaction to Windows Vista and the ongoing downturn.

Data sourced from Financial Times; additional content by WARC staff