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Microsoft reports strong Surface, Xbox, and cloud growth for Q3 2021

reksveks

Member
I don't work with Dell or Lenovo but I'm sure there numbers look good despite price hikes due to subcomponent manufacturers. All the OEMs are able to sell everything they are producing. Demand is far outpacing supply.
Looks like dell's numbers is up 19% on the closest quarter but I would need to double check their definitions.
 
Dabaus Dabaus eagerly waiting at his keyboard with his pre-typed diatribe as to why this is actually underwhelming news, which I’m sure he’ll also do for PlayStation (not).

giphy.gif

Looks like you've waited at the keyboard to write a post when Dabaus posted. :/


Anyway :

Xbox hardware was up 232% YoY due to Series X | S demand + favorable comp vs last year

So, they are comparing Xseries with Xbox One tanked sales a year ago across the globe? Am i reading this right?
 
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Chukhopops

Member
These numbers sound shit to me? Anyone else?

Going up only 232% with the launch of a new 500 dollar console compared to the 200ish you could get a one for should result in much higher numbers, no?

Other revenue increasing by 34% with millions getting new consoles and reupping their subs and buying more games than usual doesn’t seem great?

Best quarter results in only 6 years means year one for the Xbox one made more money?

Also none of this equates to profit. Gamepass very likely still is losing money.
Are you ready for a ten page concern thread? Get your bingo cards ready:
6TSyOTt.jpg
 

Godot25

Banned
Revenue doesn't equal profit, though. Still, it's very impressive numbers, which is also evident, when the very first post in the thread is by a resident Sony fanboy, desperately trying to downplay the numbers.
If Microsoft isn't investing all of profits back into Xbox ecosystem (Game Pass deals, exclusive content etc.) they are stupid as hell.

They don't need to keep a dime from revenue as a profit because Microsoft has more money then God.
Invest it so you can grow and Xbox and have bigger profits in future
 
Looks like you've never read financial statements before. That's the way comparisons are made. Sony does the same. And so does Nintendo.

But it doesn't fit his narrative that Microsoft are playing silly buggers with their earning calls

Looks like you, Xbox fans, never heard that sales between different console generations are always compared launch-aligned. MS did that till 2016 when launch aligned Xbone sales were down compared to X360.
 
Apparantly Microsoft crossed 15 billion USD in gaming revenue in a year (last 12 months, not FY), for the first time ever.


I think people are slowly realising that the Surfaces look amazing, but they are in reality some of the worst laptops in the market.

I don't think $15 billion is right if I've looked at their financials right

Q4 20 was $1.4 billion
Q1 21 was $3.2 billion
Q2 21 was $5 billion
Q3 21 was $3.5 billion

So it should be just over $13 billion
 
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StreetsofBeige

Gold Member
Looks like you, Xbox fans, never heard that sales between different console generations are always compared launch-aligned. MS did that till 2016 when launch aligned Xbone sales were down compared to X360.
MS reports all their Windows, Surface and Xbox all under their Personal Computing Division. And then there's other divisions like Productivity and Azure.

Yeah, sure makes sense to only single out Xbox to get it's own custom comparison timeline charts.
 

StreetsofBeige

Gold Member

Gaming revenue increased $1.2 billion or 50%, driven by growth in Xbox content and services and Xbox hardware. Xbox content and services revenue increased $739 million or 34%, driven by growth in third-party titles, Xbox Game Pass subscriptions, and first-party titles. Xbox hardware revenue increased 232%, driven by higher price and volume of consoles sold due to the Xbox Series X|S launches.
 

reksveks

Member
Lets see:

  1. No profit numbers for Xbox division
  2. No Hardware numbers
  3. No software numbers

A bunch of nothing. No transparency whatsoever unlike the Sony and Nintendo financials where they don't hide numbers.
It's all about priorities, xbox like Sony mobile handsets, apple TV subscriptions are just too small at the moment to make a point over especially over the bigger parts of their business.
 
It doesn't? Following the business model they've laid out and are nurturing, Xbox is profitable and showing growth with their shareholders. And only has room to grow.
No one is denying Xbox's growth. My comment was not in relation to that. It was in relation to the other guy stating Xbox doesn't need to beat PS which makes 0 sense.

They are both in the same market, after the same customers. One has massively huge market share lead and the other doesn't. I'm sure you know which is which.

Saying Xbox doesn't need to compete with PS is asinine and borderline retarded.
 
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DenchDeckard

Moderated wildly
All people really need to think about is Microsoft made enough net profit in one quarter to buy two Bethesda’s and they are seeing extremely strong growth for Xbox hardware and services with absolutely no first party games or what we call the ever so important exclusives. If this continues and then they land halo and star field it’s going to be insane.

basically ms is killing it. Sure it may not be as killing it as the competition but Phil Spencer has doubled revenue since he got promoted in 2017 And xbox is performing extremely well.

we should all be happy that the big three are performing well and carving their own path.

gonna be crazy to see what day one halo and star field do to gamepass and their future figures.
 
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reksveks

Member
But it is losing a lot of money. GamePass is mostly selling to the existing Xbox userbase, which would help to explain the collapse in Xbox retail sales.
Alot of assumptions and 'anecdotal' evidence here. I would like to reinstate its okay to say we don't know.
 

geary

Member

Gaming revenue increased $1.2 billion or 50%, driven by growth in Xbox content and services and Xbox hardware. Xbox content and services revenue increased $739 million or 34%, driven by growth in third-party titles, Xbox Game Pass subscriptions, and first-party titles. Xbox hardware revenue increased 232%, driven by higher price and volume of consoles sold due to the Xbox Series X|S launches.

And also to add to that:
Operating income increased $967 million or 27%.
•Gross margin increased $892 million or 14%, driven by growth in Windows, Gaming, and Search advertising. Gross margin percentage decreased, driven by sales mix shift to Gaming.
•Operating expenses decreased $75 million or 3%, driven by reductions in retail store expenses and marketing.
 

Godot25

Banned
Lets see:

  1. No profit numbers for Xbox division
  2. No Hardware numbers
  3. No software numbers

A bunch of nothing. No transparency whatsoever unlike the Sony and Nintendo financials where they don't hide numbers.
Only people who wants to know this stuff are concern trolls like you
1. Nobody in Xbox division right now cares about profits. They are in growth phase and they ade putting all profits back into ecosystem for future growth. They don't need to be profitable because Microsoft had 15 billion profits which is more than half of Playstation yearly revenue
2. Providing console sold numbers is meaningless because Xbox business is not entirely dependent on number of consoles sold since their services and games are also available on PC and in the cloud
3. Which software numbers? Even if Microsoft released first party game this quarter, they are putting all their games onto subscription service... And if they are providing number of players people like you are bitching about that....

So yeah. Only reason why you want to know this stuff because you are desperate to brag about fact that Sony sold more consoles. Which is funny if it wasn't so sad...
 

If only Sony didn't compare their last quarter to the same quarter in the previous year....


Cheers, man!

MS reports all their Windows, Surface and Xbox all under their Personal Computing Division. And then there's other divisions like Productivity and Azure.

Yeah, sure makes sense to only single out Xbox to get it's own custom comparison timeline charts.

You have an official Xbox sites where Xbox console sales were mentioned from time to time :

Thanks to you, Xbox One continues to outpace Xbox 360 at the same point in time in the Xbox 360 generation, making it the best-selling console in Xbox console history.
 
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geary

Member
No one is denying Xbox's growth. My comment was not in relation to that. It was in relation to the other guy stating Xbox doesn't need to beat PS which makes 0 sense.

They are both in the same market, after the same customers. One has massively huge market share lead and the other doesn't. I'm sure you know which is which.

Saying Xbox doesn't need to compete with PS is asinine and borderline retarded.

They may have been competing until this generation. Now to me is more like they are complementing themselves. Xbox GP offer + PS Exclusives offer....It's now one or the other...it's more like an "and" there.
 

StreetsofBeige

Gold Member
No one is denying Xbox's growth. My comment was not in relation to that. It was in relation to the other guy stating Xbox doesn't need to beat PS which makes 0 sense.

They are both in the same market, after the same customers. One has massively huge market share lead and the other doesn't. I'm sure you know which is which.

Saying Xbox doesn't need to compete with PS is asinine and borderline retarded.
There's a difference between competing and needing to be #1 (which you are gunning for). You dont need to be #1 in an industry. If that was the case, what is Sony doing being in music, TVs, semiconductors, cellphones and insurance?

That's like saying Apple is a loser in the smartphone market because Samsung can sell more than them depending on the year.
 

reksveks

Member
No one is denying Xbox's growth. My comment was not in relation to that. It was in relation to the other guy stating Xbox doesn't need to beat PS which makes 0 sense.

They are both in the same market, after the same customers. One has massively huge market share lead and the other doesn't. I'm sure you know which is which.

Saying Xbox doesn't need to compete with PS is asinine and borderline retarded.
Does Nintendo need to compete with PS? No, that's the play that Xbox are trying to make but with a service strategy.
 

Renozokii

Member
Are you ready for a ten page concern thread? Get your bingo cards ready:
6TSyOTt.jpg
Making a bingo meme of a bunch of sayings that are massively exaggerated but have truth in a less extreme way doesn’t make them false. 2 new consoles meant to capture as big an audience as possible and new gen levels of hype and your doing only 200% better than the worst selling last gen console did in its final, game devoid year of existence? That’s impressive? And they just spent how many billions trying to get people excited?
 

StreetsofBeige

Gold Member
I never knew Xbox Wire PR articles written by Will Tuttle should be part of Microsoft's quarterly earnings reports to Wall Street.
 

reksveks

Member
They may have been competing until this generation. Now to me is more like they are complementing themselves. Xbox GP offer + PS Exclusives offer....It's now one or the other...it's more like an "and" there.
Some people just miss the point.
 
There's a difference between competing and needing to be #1 (which you are gunning for). You dont need to be #1 in an industry. If that was the case, what is Sony doing being in music, TVs, semiconductors, cellphones and insurance?

That's like saying Apple is a loser in the smartphone market because Samsung can sell more than them depending on the year.

You should always be gunning for #1

I would definitley put Sony as #1 in the music category too
 
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