MICROSOFT RECORDS GOOD 2022 Q4 RESULTS DESPITE MARKET UNCERTAINTY
In these economically uncertain times it is more important than ever that your main IT vendor grows and remains financially healthy. After all, your vendor can only fully invest in the endless possibilities that IT offers today if they are sufficiently profitable. Last week, Microsoft announced her 2022 Q4 earnings. Despite the current war, the high inflation and the uncertainties in the market, the company reported a revenue growth of 12 percent to $ 51,9 billion with a net income of $ 16.7 billion, up 2 percent.
Organisations always invest in ERP and CRM solutions with a long-term perspective. For that reason it is of crucial importance that your vendor of choice remains financially healthy. Since only if this condition is met, there is continuous scope and budget for R&D and product innovation. If you are not a Microsoft customer today, do you have any idea about the financial position of your current vendor?
Microsoft looks back with satisfaction on the fourth quarter of its 2021/2022 fiscal year. Chief Financial Officer Amy Hood noted that commercial bookings grew 25 percent and Microsoft cloud revenue was $ 25 billion, up 28 percent year over year. However, the company’s earnings and revenue both slightly missed the average analyst estimates.
The revenue for all Dynamics products and cloud services increased by 24 percent year over year in constant currency. This was mainly driven by Dynamics 365 cloud revenue that created a growth of 36 percent in the last quarter in constant currency. With this growth, the Dynamics 365 product family continues to outgrown the market and its direct competitors. And that makes even more R&D budgets available!
“No company is better positioned than Microsoft to help organizations deliver on their digital imperative – so they can do more with less,” Microsoft CEO Satya Nadella stated.
For the full financial year 2021/2022, Microsoft reported 18 percent revenue growth to $ 198,3 billion and earnings per share up 20 percent to $ 9,65, beating an average estimate of $ 9,31. Microsoft shares rose 5 percent in extended trading after the publication of these earnings.
In summary: your choice for a Microsoft Dynamics 365 ERP or CRM solution is a choice for a financial healthy vendor with impressive R&D budgets that gives you the prospect of continuous innovation.
