Seattle: Microsoft Corp said its fiscal third-quarter profit fell 11% from a year earlier, when the software maker reported more than $1 billion (Rs4,016 crore) in deferred revenue tied to delays in the launch of the Windows Vista operating system.
Microsoft said its net profit for the three months ended 31 March fell to $4.39 billion, or 47 cents per share, from $4.93 billion, or 50 cents per share, in the same period last year.
The results still beat Wall Street’s expectations. Analysts surveyed by Thomson Financial forecast a profit of 44 cents per share. But investors, chewing over the company’s guidance and a drop in sales in the division that produces the flagship Office productivity programs, sent shares down USD 1.43, or 4.5 per cent, to USD 30.37 in after-hours trading.
Earlier in the day, the stock had gained 35 cents, or 1.1%, to close at $31.80. Revenue edged up to $14.45 billion from $14.4 billion in the year-ago quarter. Analysts were looking for $14.4 billion in sales.
“Despite a difficult economic environment, it was a very good performance,” said Chief Financial Officer Chris Liddell in an interview.
Stronger-than-expected PC shipments in the quarter could not offset the $1.67 billion in deferred Vista revenue booked in the 2007 quarter. Sales in the division responsible for Windows fell 24% to $4.02 billion.