Microsoft (MSFT) Q1-2009 Earnings Call Notes
-Revenue of $15.06B vs. $14.78B est., up 9%. EPS 48c vs. 47c est. December quarter guidance of $17.3-17.8B in revenue, EPS of 51-53c vs. $17.96B and 55c est. FY2009 guidance of $64.9-66.4B, EPS $2.00-2.10 vs. $66.51B and $2.11 est.
-Purchased $6B of stock and paid out $1B in dividends during the quarter
-10-12% unit growth in PCs driven by netbooks and emerging markets. Traditional PC units were several points lower than expected
-sold 2.2m 360 consoles, up 20% y/y
-Business Division Server and Tools up 19%, Client up 2%, Online Services up 15%
-Macroeconomic environment clearly weakened throughout the quarter. Experienced deterioration in the spending environment over the last few weeks which continued into October
-Estimate mature PCs as flat to low single digit growth with netbooks adding 8 points to the growth. Seeing continued double-digit growth across emerging markets
-Windows OEM license units up 8% due to inventory reductions, revenue however down 1% y/y as ASP declined due to shift to netbooks and emerging markets
-Entertainment and Devices, down 6% to $1.8 billion due to the comp of Halo 3 last year. Operating income was up 7%
-Xbox Live has over 14 million members