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Microsoft’s third quarter (Q3) fiscal results were posted in a press release today, with large growth mainly driven by the Azure cloud platform, which increased 93% year-over-year. The gaming business is also seeing growth, with a small drop in the PC business.

Here’s a look at the overall financials for Microsoft in third quarter 2018
  • Revenue was $26.8 billion and increased 16%
  • Operating income was $8.3 billion and increased 23%
  • Net income was $7.4 billion and increased 35%
  • Diluted earnings per share was $0.95 and increased 36%

Regarding gaming, Microsoft’s report states that “Gaming revenue increased 18% (up 16% in constant currency) driven by Xbox software and services revenue growth of 24% (up 21% in constant currency) mainly from third party title strength.” The Xbox division brought in $2.251 billion in revenue, up 18% year-over-over compared to $1.906 billion in Q3 2017.

It’s interesting that third-party titles were the main push for growth, with juggernauts like Fortnite, Far Cry 5 and Monster Hunter: World performing extremely well. Additionally, Sea of Thieves made the #2 spot in March’s NPD report, making it Rare’s fastest-selling game since 1995 and Microsoft’s fastest-selling new first-party IP this generation.

This is certainly fantastic growth, and it’ll be interesting to see how the remainder of the year unfolds.



Other important figures:


LinkedIn: +33% revenue
MS Azure (Cloud): +76%
Office 365: +36%
Gaming: +44%
Surface: +14%
Search Advertising: +17%

Imagine not having GamePass on your console...