Microsoft has announced some strong financial results for the FY2018 that ended on June 30th and the tech giant has enjoyed double digit increases across the board. Overall revenue was $110.4 billion – an increase of 14% – with net income of $16.6 billion using GAAP numbers.
The company’s gaming revenue increased 39% in Q4 due to strong performance by Xbox software and services. Xbox software is up 36% driven mainly by third party game sales. Monthly active users for Xbox Live grew 8% to 57 million. Gaming revenue for the fiscal year was $10.35 billion – up from $9.05 billion in FY 2017. This shows that revenue from Microsoft’s gaming business made up almost 10% of the company’s overall revenue in FY2018. This is also the first time Xbox has earned over $10 billion in revenue in a single year.
Microsoft’s revenue from cloud services is up 26% while revenue from Surface devices is up 25% in Q4 which beats expectations from Wall Street. This brings revenues from Surface to $1.1 billion for the fiscal year. Next month Microsoft will release the Surface Go – the first new Surface product to launch this year. Revenue from LinkedIn was $1.4 billion which is an increase of 37%. Revenue from Microsoft’s search engine, Bing, has grown 17% and may see a sharp increase now that Google has been forced to separate its search tool from Android devices in the European Union.