Microsoft Reports A $2.1B Q4 Loss
Microsoft Corp. has announced that revenues for the quarter ended June 30, 2015 were $22.2 billion. Gross margin, operating loss, and loss per share for the quarter were $14.7 billion, $(2.1) billion, and $(0.40) per share, respectively.
These results include the impact of a $7.5 billion non-cash impairment charge related to assets associated with the acquisition of the Nokia Devices and Services (NDS) business, in addition to a restructuring charge of $780 million. There was also a charge of $160 million related to the previously announced integration and restructuring plan. Combined, these items totaled $8.4 billion or a $1.02 per share negative impact. Excluding this impact, operating income and EPS would have been $6.4 billion and $0.62, respectively. During the quarter, Microsoft returned $6.7 billion to shareholders in the form of share repurchases and dividends.
The following table reconciles these financial results reported in accordance with generally accepted accounting principles (“GAAP”) to Non-GAAP financial results. Microsoft has provided this Non-GAAP financial information to aid investors in better understanding the company’s performance. All growth comparisons relate to the corresponding period in the last fiscal year.
|
Three Months Ended June 30, |
|
||||
($ in millions, except per share amounts) |
Revenue |
Gross Margin |
Operating Income (Loss) |
Earnings (Loss) per Share |
||
2014 As Reported (GAAP) |
$23,382 |
$15,749 |
$6,482 |
$0.55 |
||
Impairment, Integration, and Restructuring Charges |
- |
- |
127 |
0.01 |
||
2014 As Adjusted (Non-GAAP) |
$23,382 |
$15,749 |
$6,609 |
$0.56 |
||
2015 As Reported (GAAP) |
$22,180 |
$14,712 |
$(2,053) |
$(0.40) |
||
Impairment, Integration, and Restructuring Charges |
- |
- |
8,438 |
1.02 |
||
2015 As Adjusted (Non-GAAP) |
$22,180 |
$14,712 |
$6,385 |
$0.62 |
||
Percentage Change Y/Y (GAAP) |
(5)% |
(7)% |
(132)% |
(173)% |
||
Percentage Change Y/Y (Non-GAAP) |
(5)% |
(7)% |
(3)% |
11% |
||
|
|
|
|
|
||
The strengthening of the U.S. dollar compared to foreign currencies had a significant impact on results in the quarter. Excluding the effect of foreign exchange rate changes on the GAAP amounts, on a constant currency basis, revenue and gross margin would have declined 2% and 3%, and operating income and EPS would have declined 129% and 176%, respectively. Excluding the effect of foreign exchange rate changes on the Non-GAAP amounts, on a constant currency basis, revenue and gross margin would have declined 2% and 3%, respectively, and operating income and EPS would have declined 1% and increased 8%, respectively.
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Senior Member
Posts: 8855
Joined: 2010-08-28
I guess i also contributed, cuz i'm still on Windows 7

Senior Member
Posts: 5028
Joined: 2008-09-07
So, their revenue is 23B in three months, and they still manage to not be profitable?
That takes some getting used to.
Senior Member
Posts: 606
Joined: 2014-09-21
So, their revenue is 23B in three months, and they still manage to not be profitable?
That takes some getting used to.
That'll happen when you write off literally an entire company.
Senior Member
Posts: 11667
Joined: 2004-05-10
Yep, they wrote off $7.6 billion for Nokia.
Senior Member
Posts: 7435
Joined: 2006-09-24
That Nokia deal tho.