CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

Microsoft stocks up despite falling profits

Article By: ,  Financial Analyst
April 25, 2014 11:15 AM

The share price of Microsoft rose last night (April 24th) after the technology company revealed its latest financial results in a statement.

Stocks rose in after-hours trading on the Nasdaq even though Microsoft announced its profits for the first quarter of the year were lower than those recorded by the firm 12 months ago.

Microsoft stated that it made a net profit of $5.66 billion (£3.37 billion) in the first quarter, which was ahead of the estimations of analysts.

Chief executive Satya Nadella, who replaced Steve Ballmer as the head of the company earlier in the year, noted that Microsoft has made good process in its consumer services like Bing and Office 365 Home in the last few months.

He also pointed out that its commercial customers "continue to embrace our cloud solutions". Mr Nadella is a cloud specialist, which led to speculation Microsoft would go further down this path in the near future under his new leadership.

Xbox sales

Microsoft revealed in the financial results that it sold two million Xbox consoles – including 1.2 million of the next generation Xbox Ones – during the period. The Xbox One is in strong competition with the PlayStation 4, which is the new games offering from rival firm Sony.

"We delivered solid, broad-based financial results driven by strong execution and continued cost discipline," said Amy Hood, executive vice-president and chief financial officer at Microsoft. "We are focusing our resources to drive growth and long-term shareholder value."

Office 365 Home was revealed to be up to 4.4 million subscribers, having added almost one million subscribers in just three months, while Surface revenue grew over 50 per cent and now stands at approximately $500 million and  Bing US search share grew to 18.6 per cent with search advertising revenue up 38 per cent as well.

Following the release of the data, Microsoft shares rose by 0.43 per cent in the normal trading session on the Nasdaq, adding a further 2.51 per cent in the after-hours period on the market.

Find up to date information on the FTSE 100 and spread betting strategies at City Index

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024