Microsoft cautious over profits forecast

Microsoft has cut profit forecasts for its current financial year despite reporting better than expected quarterly profits. The software company saw a 9% increase in revenue to £9.31bn for the three months to the end of September.

The rise led to a 2% increase in operating profits to £2.69bn, which it attributed to a good performance by its consumer-products and internet services business, despite a more difficult online advertising market. It also says that new product offerings in the software sector also pushed its revenue higher.

Microsoft is taking cautious approach to 2009 and reducing its spending in research and data centres as it expects the downturn to continue over the coming year.

The company claims that sales for its Xbox games console have exceeded expectations despite declining from the same period last year, which included the release of Halo 3.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here