Microsoft posts bumper Q4, with Windows, Surface, Azure all up

Microsoft has posted the results of the fourth quarter of its 2018 financial year, running up until June 30, 2018. Revenue was $30.1 billion (up 17 percent year-on-year), operating income was $10.4 billion (up 35 percent), net income was $8.8 billion (a rise of 10 percent), and earnings per share were $1.14 (an increase of 11 percent).

This brings the full-year revenue to $110.4 billion (up 14 percent on the 2017 financial year), with operating income of $35.1 billion (up 21 percent) and net income of $16.6 billion, a drop of 35 percent, attributed to the impact of the Tax Cut and Jobs Act's $13.8 billion repatriation tax. Without that, the company would have been looking at a net income of $30.3 billion, up 18 percent on 2017.

Microsoft currently has three reporting segments: Productivity and Business Processes (covering Office, Exchange, SharePoint, Skype, and Dynamics), Intelligent Cloud (including Azure, Windows Server, SQL Server, Visual Studio, and Enterprise Services), and More Personal Computing (covering Windows, hardware, and Xbox, as well as search and advertising). This reporting structure has been retained even though the Windows division has been reorganized with responsibilities split between different groups.