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Microsoft's Q4 Results

Well on the Xbox side, Xbox revenue down by $5 million or by 2% from the prior year and a $51 million decline related to xbox price drop. Good news is Xbox reported Xbox console volumes up 27% within the 4Q. The Xbox has a U.S. games attach rate of 6.9 games per console. Fiscal 2004 overall, Xbox revenue increasing 9% to $144 millions with $269 million related due to higher Xbox software volumes. $117 million due to high xbox console volumes. Overall fiscal 2004, Xbox console volumes up 11%. :D



Microsoft Reports


Microsoft Reports Strong Fourth Quarter Earnings

Microsoft Delivers 14% Revenue Growth on a Very Successful Fiscal Year; Healthy Business Demand Drives 15% Revenue Growth for the June Quarter

Redmond, Wash. - July 22, 2004 -Microsoft Corp. today announced revenue of $9.29 billion for the quarter ended June 30, 2004, a 15% increase over revenue of $8.07 billion for the same period in the prior year. Operating income for the fourth quarter was $3.13 billion, which included stock-based compensation expense of $739 million (pre-tax). This compares to operating income of $1.54 billion for the fourth quarter of the prior fiscal year, which included stock-based compensation expense of $665 million (pre-tax) and charges of $796 million (pre-tax) primarily related to the settlement of the Time Warner lawsuit. Net income for the fourth quarter was $2.69 billion including a $208 million tax benefit from the reversal of previously accrued taxes. This compares to net income of $1.48 billion reported in the same quarter of the previous fiscal year. Diluted earnings per share for the quarter were $0.25 which included after-tax charges of $0.05 in stock-based compensation expense and a $0.02 tax benefit from the reversal of previously accrued taxes. This compares to diluted earnings per share of $0.14 in the fourth quarter of the previous fiscal year which included after-tax charges of $0.04 in stock-based compensation expense and $0.05 primarily related to settlement of the Time Warner lawsuit.


The company also announced revenue of $36.84 billion for the fiscal year ended June 30, 2004, a 14% increase over the $32.19 billion reported last year. Net income for fiscal year 2004 was $8.17 billion and diluted earnings per share were $0.75, which included after-tax charges for stock-based compensation expense of $0.35, charges of $0.17 related to the Sun Microsystems settlement and a fine imposed by the European Commission, and a tax benefit of $0.02. For the previous fiscal year, net income and diluted earnings per share were $7.53 billion and $0.69, which included after-tax charges of $0.23 for stock-based compensation expense, charges for investment impairments of $0.07, charges related to legal settlements of $0.06 and a tax benefit of $0.01.


Full report!
 
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