Azure growth slows, but market share is increasing
Microsoft more than doubled its net income year-on-year for the 12 months ending June 30, its earnings revealed today, pocketing $39 billion, up from $16 billion the previous year, as net income tax benefits caused by the repatriation of “certain intangible properties held by our foreign subsidiaries” to the US kicked in.
The huge shift in Microsoft results comes as the company faced a net charge of $13.7 billion during the twelve months ended June 30, 2018 related to the Tax Cuts and Jobs Act (TCJA); one of the US’s most significant tax code overhauls in over three decades, which included a one-time tax on past profits of US corporations’ foreign subsidiaries.
“Actual” operating income was up 23 percent.
Azure was the standout performer over the past quarter, meanwhile, with revenue climbing 64 percent on the previous quarter.
Office 365 Commercial was up 31 percent and Dynamics 365 up 45 percent.