Proactive Investors - Microsoft Corporation (NASDAQ:MSFT) after Tuesday’s closing bell reported better than expected fiscal second quarter financial results driven by strength in its Cloud segment.
The company's total revenue rose 18% over the year-ago quarter to $62 billion, above estimates of $61 billion.
Cloud revenue rose 24% year-over-year to $33.7 billion.
Its More Personal Computing segment, which contains its Activision Blizzard (NASDAQ:ATVI) acquisition completed in October, saw revenue increase 19% to $16.9 billion. This included a 61% jump in Xbox content and services revenue driven by the Activision takeover.
Earnings per share were $2.93 compared to expectations of $2.76, per Zacks Consensus Estimate.
"We’ve moved from talking about AI to applying AI at scale," Microsoft CEO Satya Nadella said in a statement.
"By infusing AI across every layer of our tech stack, we’re winning new customers and helping drive new benefits and productivity gains across every sector.”
As investors awaited Microsoft’s earnings call for management’s guidance commentary, shares of the technology giant traded 0.4% lower at $407.