Microsoft Profit Dips 11%

Revenue of $14.5 billion virtually unchanged from last year
By John Johnson,  Newser Staff
Posted Apr 24, 2008 4:43 PM CDT
Microsoft's CEO Steve Ballmer answers a question from the audience at the Microsoft 2008 MVP Global Summit in this April 17, 2008, file photo.    (AP Photo/Kevin P. Casey, File)
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(Newser) – Microsoft's profits fell 11% in the third quarter amid concern that corporate clients are cutting back during the economic downturn, Bloomberg reports. The software giant reported net income of $4.39 billion, or 47 cents a share, down from $4.93 billion a year ago. The company's revenue remained flat at $14.5 billion, in line with estimates but disappointing investors, Bloomberg notes. Shares fell 4.5%.

"Overall the results were pretty good, though investors probably were hoping for more out of fourth-quarter guidance," one analyst told MarketWatch. Microsoft projects revenue between $15.5 billion and $15.8 billion this quarter, between 45 and 48 cents a share. Sales of Windows came in lighter than expected.