Microsoft released its Q2 earnings report last Tuesday, and the results were not great. Microsoft MSFT missed analyst expectations for sales, and the stock dipped. Vahé Torossian, who has been Microsoft since 1992, said Friday he was stepping down from his role as corporate vice president of business.
Microsoft MSFT –2.20% delivered the stock market a truck full of lemons this past week. Investors chose to see a tanker filled with lemonade, but the reality was that the tech giant’s second quarter earnings report was a mixed bag. Microsoft reported top- and bottom-line beats in its fiscal Q2, but shares declined on disappointing guidance.
The second-quarter earnings report was the first since the coronavirus pandemic began, and it revealed some of the economic damage the company has suffered. Microsoft’s revenue was down significantly compared to the same period last year, and the company’s cloud computing business was one of the areas hardest hit by the pandemic.
Between them, some of the world's biggest tech companies have collectively laid off more than 150000 workers in recent months. Microsoft alone has cut more than 10000 jobs since the start of the pandemic. Microsoft’s second quarter earnings report was a mixed bag, with the company reporting a slight increase in revenue from the previous year, but still missing analyst expectations.
Investors had their eyes on Wall Street, and their ears tuned in to a round of conference calls involving some of the biggest names in tech. Microsoft was one of the companies that reported its earnings last week, and the stock dipped after the company’s guidance failed to meet analyst expectations.
Microsoft (NASDAQ:MSFT). Shares of the tech giant rose after a beat on earnings per share for its latest quarter. Adjusted EPS came in at $2.32 per share, a 5% increase year-over-year. Revenue came in at $37.2 billion, a 12% increase from the same period last year.
The company’s cloud computing business was a bright spot for the quarter, with revenue up 13% year-over-year. Microsoft’s gaming business was also up, with the company reporting a 13% increase in revenue. The company’s productivity and business process segment, however, was down 4% year-over-year.
As a new chatbot wows the world with its conversational talents, a resurgent tech giant is poised to reap the benefits while doubling down on its cloud-based solutions. Microsoft recently announced its new chatbot, Cortana, which is designed to help users with everyday tasks such as scheduling meetings and taking notes.
Microsoft is also continuing to invest in its cloud-based solutions and artificial intelligence capabilities. The company recently announced a new artificial intelligence platform, Azure AI, which is designed to help businesses of all sizes use AI to improve their operations.
Microsoft’s second quarter earnings report was a mixed bag. While the company reported top- and bottom-line beats in its fiscal Q2, shares declined on disappointing guidance. The company’s cloud computing business was one of the bright spots for the quarter, with revenue up 13% year-over-year.
Microsoft’s new chatbot, Cortana, is also helping to boost the company’s bottom line. The company is continuing to invest in its cloud-based solutions and artificial intelligence capabilities, and this could be a major driver of growth for the company in the future.
