Google Pumped 14% After Announcing a $70 Billion Stock Buyback

• Microsoft’s fiscal third-quarter results exceeded estimates on the top and bottom lines, with revenue growing 17% year-over-year.

• The Intelligent Cloud segment, including Azure, saw revenue growth of 21%, with Azure and other cloud services growing 31%.

• The Productivity and Business Processes segment grew 12%, while the More Personal Computing segment, including Windows, Surface, and Xbox, grew 18%, boosted by the Activision Blizzard acquisition.

Microsoft beat revenue and earnings expectations in its fiscal third quarter results, driven by strong growth in its cloud computing business.

Financial Results Exceed Estimates

Earnings per share were $2.94 vs $2.82 expected
Revenue was $61.86 billion vs $60.80 billion expected
Total revenue grew 17% year-over-year
Net income was $21.94 billion or $2.94 per share, up from $18.30 billion or $2.45 per share a year ago

Cloud Business Drives Growth

Revenue from Intelligent Cloud segment was $26.71 billion, up 21% and exceeding expectations
Azure and other cloud revenue grew 31% compared to 30% last quarter
7 percentage points of Azure growth were related to artificial intelligence
Microsoft provides cloud services for ChatGPT and companies are adopting Azure AI services

Productivity Segment Grows Steadily

Revenue from Productivity and Business Processes was $19.57 billion, up around 12%
Segment contains Office, LinkedIn, Dynamics, and Copilot
Copilot is a new AI add-on for Microsoft 365 subscriptions

More Personal Computing Up on Xbox and Windows

Revenue from More Personal Computing was $15.58 billion, up around 18%
Segment includes Windows, Surface, Xbox, and search
Xbox content revenue up 62% due to Activision Blizzard acquisition
Windows revenue up 11% as PC shipments increased

JUST IN: Google $GOOG pumped 14% after trading hours following its $70 billion buyback announcement pic.twitter.com/MPDNMJIMjC
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