San Francisco (The Hawk): Despite a global decline in PC sales, Microsoft reported a 14% decline in net profit for the first quarter of 2023 (the period of July to September).
Microsoft's first quarter of 2023 saw $50.1 billion in revenue and $17.6 billion in net income.
Digital technology is the ultimate tailwind in a world with growing headwinds, according to Satya Nadella, chairman and CEO of Microsoft.
In this environment, Nadella said in a statement late on Tuesday, "we're focused on helping our customers do more with less, while investing in secular growth areas and managing our cost structure in a disciplined way."
Microsoft Cloud revenue increased by 24% year over year to $25.7 billion.
Amy Hood, executive vice president and CFO of Microsoft, stated that "we continue to see healthy demand across our commercial businesses, including another quarter of solid bookings as we deliver compelling value for customers."
According to IDC, global shipments of traditional PCs totaled 74.3 million units during the period of July through September, a 15% decline year over year. This decline is primarily to blame for the decline in net profit.
According to Microsoft, revenue from LinkedIn increased by 17%, while revenue from Intelligent Cloud increased by 20% to $20.3 billion.
More Personal Computing generated $13.3 billion in revenue, a marginal decline.
Revenue from Xbox devices increased by 2% while revenue from content and services fell by 3%.
Nearly half of Xbox Series S purchasers, according to Nadella, are first-time users of our ecosystem.
(Inputs from Agencies)