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[Rösti]

For the quarter ended Mar. 31, 2013:

On Non-GAAP Reconciliations (for IEB/EDD):

Segment revenue and operating income (in millions):

Source: http://www.microsoft.com/investor/E...s/PressReleaseAndWebcast/FY13/Q3/default.aspx

There's also the Earnings Conference Call at 2.30 PM PT:

April 18, 2013 2:30 PM - PT
Microsoft Fiscal Year 2013 Third Quarter Earnings Conference Call

Source: http://www.shareholder.com/visitors...tion.cfm?MediaID=54727&MediaUserID=0&player=1

Pray to Sweet Billy that the investors are smart to ask about the IEB for the fall and that Microsoft will say something. This is their remaining earnings conference call before E3 anyway, so it would be wise of them to provide some information.

Update: Very little was said directly about Microsoft's plans for the next generation Xbox. The most relevant statement was this:

Clearly, there's a lot of momentum. And with E3 only a couple of months away we look forward to sharing more shortly.

 

[Steverulez]

Be very interested to listen to the earnings call, I wonder if they'll suggest (hint) about the next Xbox? Tom Warren said on twitter they had posted record revenue, pretty damn good.

Also, the Entertainment and Devices Division made almost $1bn in operating income is certainly an improvement.

 

[Miles X]

EDD doing very well!

 

[PsihoPerihelion]

Bu... bu... but GAF told me MS was dying

Spoiler

Doing good, MS. Doing damn good.

 

[Tagg9]

Impressive.

The entertainment division (Xbox) made $958 million compared to $632 million a year ago.

 

[RukusProvider]

EDD doing really well. R&D costs should be accounted for in the quarter in which they occurred so that makes it even more impressive.

 

[Garjon]

Impressive.

The entertainment division (Xbox) made $958 million compared to $632 million a year ago.

What's up with that loss from last year's 3rd quarter? What changed this time around?

 

[Miles X]

360 should pass 84m by years end, maybe 85m

 

[Four_Chamber]

Geez, Microsoft making a crap ton of money all around. Really impressed by the EDD financial strength, though its a drop in the pond compared to the other parts of Microsoft.

 

[Captain Tuttle]

Some good numbers in there

 

[allan-bh]

Xbox 360- 1.3m (77.2m LTD)

 

[ekim]

Good.

 

[szaromir]

What's up with that loss from last year's 3rd quarter? What changed this time around?

They paid Nokia $250M for using WP7 and other WP7 expenses.

 

[Garjon]

They paid Nokia $250M for using WP7 and other WP7 expenses.

It's a difference of $560 million, there's got to have been something else there.

 

[statham]

numbers look good to me.

 

[Tomcat]

Windows 8 lifts Microsoft's profit 19%

http://money.cnn.com/2013/04/18/technology/enterprise/microsoft-earnings/index.html

 

[PhatSaqs]

M$ indeed lol.

 

[Oemenia]

Xbox 360- 1.3m (77.2m LTD)

This is mentioned in every shipment thread, but can it hit 100 million units?

 

[Miles Quaritch]

M$ indeed lol.

Best use of this. Well done.

 

[Miles X]

This is mentioned in every shipment thread, but can it hit 100 million units?

Probably not, will slow down too much. Although ... watch out for the Mini 360.

Without intervention it can certainly hit 90m, maybe 95m.

 

[PsihoPerihelion]

This is mentioned in every shipment thread, but can it hit 100 million units?

Once it hits $99 USD should be easy. 90M is the best you can bet it will get.

 

[Cake Boss]

It's a difference of $560 million, there's got to have been something else there.

Next xbox development?
Marketing campaign

 

[GavinGT]

Revenue recognized for Video Game Deferral

Woah, is that a separate figure for videogames only? I'm terrible at reading these.

 

[jbug617]

Windows Phone has been doing better in certain countries like India etc.

 

[Krilekk]

This is mentioned in every shipment thread, but can it hit 100 million units?

Of course. It will.

 

[coldfoot]

Which department does mobile belong to in MS? WP8, Surface, etc? Is it EDD?

 

[Miles Quaritch]

Woah, is that a separate figure for videogames only? I'm terrible at reading these.

I don't believe so. In the past, it's involved various other products. Windows Phone, Surface, etc.

Although my memory is hazy so maybe I'm misremembering.

 

[Canis lupus]

Last year 1.4m, very small drop, very good.

 

[PG2G]

What's up with that loss from last year's 3rd quarter? What changed this time around?

I believe they were writing off some company they paid too much money for and turned out to be effectively useless. I forget the details.

 

[GavinGT]

I don't believe so. In the past, it's involved various other products. Windows Phone, Surface, etc.

Although my memory is hazy so maybe I'm misremembering.

I edited. Are we talking about the same thing? I don't recall ever seeing "Revenue recognized for Video Game Deferral".

Maybe it's to indicate money spent on next-gen?

 

[1st Course]

From the previous thread:

MICROSOFT - Three Months Ended March 31, 2013 )


Xbox 360 Unit Sales (Unit:Million)

  FY          Jl-Sp    Oc-Dc    Ja-Mr    Ap-Jn     FY       LTD

2005/06        -        1.5      1.7      1.8      5.0      5.0

2006/07        1.0      4.4      0.5      0.7      6.6      11.6
    
2007/08        1.8      4.3      1.3      1.3      8.7      20.3  
  
2008/09        2.2      6.0      1.7      1.2      11.2     31.5  
   
2009/10        2.1      5.2      1.5      1.5      10.3     41.8

2010/11        2.8      6.3      2.7      1.7      13.7     55.3 

2011/12        2.3      8.2      1.4      1.1      13.0     68.3

2012/13        1.7      5.9      1.3       -       8.9      77.2

Xbox should be 78m by the end of this fiscal year.

 

[Garjon]

Next xbox development?

Can't be, we'd see similar losses for this year. Unless they've somehow written off the R&D costs last year (which I very highly doubt)

Marketing campaign

There wasn't a major advertising campaign from their games division from this time last year.

 

[mckmas8808]

This is mentioned in every shipment thread, but can it hit 100 million units?

I don't think so. MS switches boats really quick when the next gen starts.

 

[CrunchinJelly]

This is mentioned in every shipment thread, but can it hit 100 million units?

When the $99 box hits... maybe.

 

[Miles X]

I don't think so. MS switches boats really quick when the next gen starts.

This old chestnut. No, they had little choice with the Xbox.

The 360 will be different.

 

[szaromir]

It's a difference of $560 million, there's got to have been something else there.

I honestly don't know, maybe Surface and WP8 were more successful ventures than WP7, maybe Xbox hardware got more profitable (and Halo 4 came out), maybe they swept some costs under corporate. There are many factors involved, but that $250M payment last year is a pretty significant part of the difference.

 

[GavinGT]

This old chestnut. No, they had little choice with the Xbox.

The 360 will be different.

Yeah, we haven't seen what they'll do if the previous console is actually still worth backing once the next gen starts.

Then again, they sort of already gave up on 360.

 

[allan-bh]

Microsoft is pretty healthy, despite stagnation of share price.

 

[RiccochetJ]

I don't think so. MS switches boats really quick when the next gen starts.

I think they'll be different this time around. That's an extremely healthy install base they're able to work with.

 

[Miles Quaritch]

I edited. Are we talking about the same thing? I don't recall ever seeing "Revenue recognized for Video Game Deferral".

Maybe it's to indicate money spent on next-gen?

Apologies, I didn't notice your edit.

I haven't seen the wording before either. I can only assume it's money spent on their next generation machine. It makes sense it would appear this Q as they begin to ramp up production,

 

[PG2G]

I honestly don't know, maybe Surface and WP8 were more successful ventures than WP7, maybe Xbox hardware got more profitable (and Halo 4 came out), maybe they swept some costs under corporate. There are many factors involved, but that $250M payment last year is a pretty significant part of the difference.

Microsoft pays Nokia $250 million every quarter AFAIK

 

[Miles X]

Yeah, we haven't seen what they'll do if the previous console is actually still worth backing once the next gen starts.

Then again, they sort of already gave up on 360.

No they haven't, the fact exclusives are still coming out along with good third party support is good enough. Along with whatever revision they have planned.

 

[Tagg9]

Yeah, we haven't seen what they'll do if the previous console is actually still worth backing once the next gen starts.

Then again, they sort of already gave up on 360.

Just because there will be no more first-party games doesn't mean they gave up on it. All of the major third-party titles will still be on 360 this fall (and maybe even fall 2014).

 

[szaromir]

Microsoft pays Nokia $250 million every quarter AFAIK

OK. I didn't know that, but then again seems possible.

 

[AranhaHunter]

This is mentioned in every shipment thread, but can it hit 100 million units?

I think so, yes.

I believe both the PS3 and 360 will pass 100 million. Would be a bit weird if the Wii ends up being 3rd when it's all said and done, but it would all be semantics anyways.

 

[GavinGT]

I haven't seen the wording before either. I can only assume it's money spent on their next generation machine. It makes sense it would appear this Q as they begin to ramp up production,

That's practically the first time they've acknowledged a new machine, even if not directly.

Just because there will be no more first-party games doesn't mean they gave up on it. All of the major third-party titles will still be on 360 this fall (and maybe even fall 2014).

But we're talking about first-party support. That's the clearest and most significant form of support they can render. They've put out very little recently and hardly anything new is announced. But I agree that it's not necessary this late in the gen when third parties play such a huge role.

 

[dionysus]

Does MS hide its R&D money in Corporate? Otherwise EDD is doing ridiculously well considering they are launching a new console soon + windows phone development.

 

[Garjon]

I believe they were writing off some company they paid too much money for and turned out to be effectively useless. I forget the details.

Well that makes a bit more sense, though we'll probably have to wait until the earnings call to find anything out.

 

[1st Course]

This is mentioned in every shipment thread, but can it hit 100 million units?

Depend on how they plan to keep it in the market, if they want to keep it up for just 3 more years then no way it will do it.

 

[Tagg9]

But we're talking about first-party support. They've put out very little recently and hardly anything new is announced. But I agree that it's not necessary this late in the gen when third parties play such a huge role.

I agree with you on first-party support, but Microsoft has made the call that they are better off sinking resources into next-gen development.

We'll see soon enough whether this strategy pays off.