United States computer software titan Microsoft reported on Thursday that third-quarter income rose 16,4% due to demand for its latest products.
Net income for the quarter tallied $3,89-billion, or 29 cents per share, as compared with $3,3-billion for that quarter in 2005, according to Microsoft.
Wall Street had expected income of 33 cents per share for the quarter.
Revenues for the Redmond, Washington company rose 13% to $10,9-billion as compared with the same quarter a year earlier, Microsoft reported.
Demand for new software releases along with the company’s Xbox 360 electronic game system ”drove robust performance”, according to Microsoft.
Microsoft is the maker of the Windows operating system, which is used in an estimated 90% of the world’s PCs. Windows’ latest incarnation is called Vista.
”We are pleased with the increasing pace of revenue growth throughout this fiscal year fueled by strong demand for our new consumer and business offerings,” Microsoft chief financial officer Chris Liddell said in a release.
”We believe next fiscal year will deliver even stronger double-digit revenue growth than this year.”
Microsoft expressed confidence in future performance and said the company bought back $4,9-billion worth of its stock during the quarter.
Microsoft managers predicted earnings of 30 cents per share and operating income ranging from $4 to $4,2-billion in the quarter ending June 30.
Revenues for the current quarter were expected to tally $11,5 to $11,7-billion.
Microsoft estimated the fiscal year ending in June of 2007 would see revenues of $49,5 to $50,5-billion, operating income ranging from $18,7 to $19,3-billion, and per-share earnings of $1,36 to $1,41.
The forecasts fell short of expectations by Wall Street analysts. – Sapa-AFP