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Microsoft Q2 Earnings

Microsoft (NASDAQ: MSFT), reported Q2 numbers exceeding most targets but showing slight drag do to the delays with Vista and Office 2007.   

Revenue for the quarter was up to $12.5b from $11.8b.  Earnings were down to 42.63b from $3.65b last year.

Strong Xbox sales led to a 76% increase in revenue for the entertainment and devices division.  But with each Xbox sold at a loss, the division showed an operating loss of $289m on revenue of $2.96b.  Guidance expects 12m units to be sold by June.

The online services division, which is chasing Google and Yahoo showed an operating loss of $155m on revenue that was up 5%.  In the Search component of the division, for December ComScore Networks ratings showed Microsoft’s share of US searches down to 10.5% from just over 14% last year. 

More detailed press coverage on Microsoft’s finances can be found at:

Yahoo Finance
Google Finance

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