Microsoft exceeded analysts' expectations on Wednesday with revenues of $ 33.1 billion in the first quarter of its fiscal year, up 14% from $ 29.8 billion the previous year. Its Azure cloud service continued to fuel its growing segment, Intelligent Cloud, which recorded a business turnover of $ 10.8 billion, up 27% from the previous year. last year. However, this growth has slowed over the past year. With respect to the company's digital marketing products, LinkedIn's search and growth advertising also remained slower than a year ago.
Advertising about research. Microsoft Advertising's first-quarter sales revenue grew 11% year-over-year. This is up from the 9% growth recorded in the previous quarter, but down from the 17% growth recorded the previous year. The company again stated that growth was driven by higher revenue per search.
Microsoft's chief financial officer, Amy Hood, said she expects research growth in the next quarter – which is the holiday season – to be identical to the quarter expired.
LinkedIn. The company again stated that LinkedIn had a record level of engagement. He repeated this chorus every quarter since the first quarter of 2018. LinkedIn sessions grew by 22%, less than the 34% recorded a year ago. The LinkedIn business turnover grew 25%, in line with the previous quarter, but down 33% from the previous year.
The subset of marketing solutions from the LinkedIn business (Talent Solutions and Premium Subscriptions are the other segments) "remains our fastest-growing segment, up 44% year-over-year last, while marketers are using our community-based tools with LinkedIn, which represents nearly 660 members, "said Hood. (The LinkedIn website currently states that it has 645 millions of members.)
Other Areas of Interest for Marketers
- Azure. Microsoft's cloud activity, which rivals Amazon's efforts, Google and Salesforce in the cloud, grew by 59 percent. "Nadella said," Azure AI now has more than 20,000 customers and more than 85 percent of Fortune 100 companies use Azure AI in the last 12 months. "
- GitHub . The company said Github had more than 40 million developers, up more than 30 percent since its acquisition a year ago and more than 2 million organizations use GitHub, including the majority of the Fortune 50
- Automation of the workflow. The Microsoft Workflow Cloud, called the Power Platform for Microsoft 365 and Dynamics 365, is designed to allow anyone within an organization to create an application (for analysis, for example) or a flow. working with little or no coding. The company said Power Platform has more than 2.5 million active citizen developers a month and that 84 percent of Fortune 500 companies have created power applications.
- Product Overview. Earlier this month, the company announced the Product Insights application of Dynamics 365 in order to provide businesses with real-time customer data. The company cited the Ecolab Energy Technologies Group and the Marks & Spencer Retailer among customers using product information to analyze observational data to improve the value of the customer's life and business. 39; optimize the store shopping experience, respectively.
Why we should care Advertising is a small part of Microsoft's business. The search gets a simple mention on income calls, usually. But the company continues to invest in these areas. It announced or implemented several updates last quarter to make the advertising platform easier to use and more productive.