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Microsoft Q3 FY11 results: 360 revenue up 69% to $712M

Thursday, 28th April 2011 21:43 GMT By Stephany Nunneley

Microsoft announced third-quarter revenue of $16.43 billion for the quarter ending March 31, 2011, which is a 13 percent increase year-over-year.

Net income for the quarter came in at $5.23 billion, which represented and increase of 31 percent compared to the prior year.

“We delivered strong financial results despite a mixed PC environment, which demonstrates the strength and breadth of our businesses,” said CFO Peter Klein. “Consumers are purchasing Office 2010, Xbox and Kinect at tremendous rates, and businesses of all sizes are purchasing Microsoft platforms and applications.”

The Entertainment and Devices Division, which includes Xbox 360, XBL, and Kinect, grew 60 percent year-over-year, which Microsoft attributed to Kinect, calling it “the fastest-selling consumer electronics device in history.” Continued strong sales of Xbox 360 and XBL were also attributed, with XBL revenue “exceeding subscription revenue,” according to Microsoft’s general manager of investor relations,Bill Koefoed.

Xbox 360 platform revenue grew $712 million or 69 percent, led by sales of Kinect. The firm shipped 2.7 million Xbox 360 consoles and 2.4 million Kinect sensors (including those sold with consoles) during the third quarter of fiscal year 2011, compared with 1.5 million Xbox 360 consoles during the third quarter of fiscal year 2010.

EDD revenue grew $2.4 billion or 52 percent led by sales of Kinect sensors, increased volumes of Xbox 360 consoles and video games sold, and higher Xbox Live revenue. The firm shipped 11.9 million Xbox 360 consoles and 10.4 million Kinect sensors (including those sold with consoles) during the first nine months of fiscal year 2011, compared with 8.8 million Xbox 360 consoles during the first nine months of fiscal year 2010.

Xbox 360 video game revenue increased primarily reflecting sales of Halo Reach and Kinect game titles, and it expects growth in the Xbox 360 division to continue and more will be revealed at E3 in June. Hopefully the firm will clarify that last bit during the conference call.

Microsoft’s preliminary figures for fiscal year 2012 see the firm expecting a 5 percent increase during the mid-point of fiscal year 2011, or $28.6 billion.

A call to investors will be broadcast live at 5.30pm EST, which is in about an hour. We will listen in and report back to you if anything interesting is noted.

Until then, if you are into financial statements, you can look over MS’s SCE filing here.

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17 Comments

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  1. bluffbluff03

    Kinect may not have the best games .. but it was worthwhile for Microsoft.

    #1 3 years ago
  2. Mike

    Quick! Somebody hack them!

    #2 3 years ago
  3. Heinekeno

    I would love to see Xbox420 in my lifetime…

    #3 3 years ago
  4. Prof.Dr.Moertel

    @1 hey there :)

    Well, looks like the hundreds of millions spend in marketing were successful :P

    #4 3 years ago
  5. Dr.Ghettoblaster

    So it’s been stated Xbox live has half the amount of users as PSN and Sony just announced 77 million, pretty easy to see why Microsoft is doing so well when you multiply $60 by 38.5 million…..

    very loose reference:
    http://www.gamesradar.com/xbox360/xbox-360/news/psn-has-twice-as-many-users-as-xbox-live/a-20110106172549431012/g-20060321132945404017

    #5 3 years ago
  6. bluffbluff03

    @ 4 Hey, the famous Moertel here at vg247 :)

    Yeah, the marketing was a very important factor in this case. At least the “Kinect-experince” is not bad either … but the games are missing.

    #6 3 years ago
  7. Psychotext

    “pretty easy to see why Microsoft is doing so well when you multiply $60 by 38.5 million…”

    Microsoft have said that just over half of xbox live users have gold… so somewhat less than what you’ve stated there. Probably looking at about 18m people paying for xbl gold. (The last official xbox live user number we got was 30m+)

    #7 3 years ago
  8. pukem0n

    @5

    it was stated that about half of XBL users have gold. and of those, most only have 1 online profile.
    while PSN users mostly dont use PSN+, propably half of that is for PSPs or multiple accounts.

    but microsoft was very clever, letting you pay for Live.
    because in the end, you get what you pay for.

    #8 3 years ago
  9. Dr.Ghettoblaster

    ^
    People also easily forget the 5+ years PSN has been hacker-proof, safe and secure….for free.

    #9 3 years ago
  10. bluffbluff03

    So Microsoft earned 16 billion dollars? Thats even less than the PSN breach could cost Sony… oh dear….

    #10 3 years ago
  11. Ireland Michael

    “So it’s been stated Xbox live has half the amount of users as PSN and Sony just announced 77 million,”

    Yeah, I’ve always found it impressive how the PS3 has over 25% more users than it’s actual installed userbase.

    #11 3 years ago
  12. daytripper

    dont understand what sony has to do with this news?

    #12 3 years ago
  13. freedoms_stain

    @11, a result of multiple accounts surely?

    #13 3 years ago
  14. lexph3re

    @o’conner really? All the things you know and you can’t consider double accounts and psps?

    #14 3 years ago
  15. OrbitMonkey

    @12 Blame #5 ;)

    #15 3 years ago
  16. rrw

    question. when 2.7 million Xbox 360 been sold? Q1 2011?

    #16 3 years ago
  17. Dr.Ghettoblaster

    @ 12 and 15

    My comment used Sony’s number to estimate Microsofts number (only news source I could find quickly while at work), which directly related to Microsofts profits which is exactly what this article is about. ;)

    #17 3 years ago