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Microsoft Now Makes Money From Surface Line, Q1 Sales Reach Almost $1 Billion

SmartAboutThings writes Microsoft has recently published its Q1 fiscal 2015 earnings report, disclosing that it has made $4.5 billion in net income on $23.20 billion in revenue. According to the report, revenue has increased by $4.67 billion, compared to $18.53 billion from the same period last year. However, net income has decreased 14 percent compared to last year's $5.24 billion mainly because of the $1.14 billion cost associated with the integration and restructuring expenses related to the Nokia acquisition.

But what's finally good news for the company is that the Surface gross margin was positive this quarter, which means the company finally starts making money on Surface sales. Microsoft didn't yet reveal Surface sales, but we know that Surface revenue was $908 million this quarter, up a massive 127 percent from the $400 million this time last year. However, if we assume that the average spent amount on the purchase of this year's Surface Pro 3 was around $1000, then we have less than 1 million units sold, which isn't that impressive, but it's a good start.

2 of 117 comments (clear)

  1. Gross margin by rossdee · · Score: -1, Troll

    I agree the Surface tablets are Gross

  2. Re: Did they make money on Surface? by Anonymous Coward · · Score: -1, Troll

    At the moment, there is no device close to the Surface Pro for this purpose.

    Close to it? Maybe not. Vastly superior to it? Definitely. A MacBook Air or MacBook Pro running Logic Pro X is what I see most musicians using in the field.