Cloud services fuel Microsoft growth

The company's shares have been volatile overnight...

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Microsoft has reported a 3.6% rise in its quarterly profit as its cloud business continues to grow.

The multinational's shares fell before recovering and registering gains in after-hours trading.

 

Revenue from its Intelligent Cloud platform, Azure, rose by 8% to $6.9bn - that represented a 93% year-on-year increase. The service hosts businesses websites, apps and data.

Office consumer products and cloud services revenue increased 22% as Office 365 consumer subscribers increased to 24.9 million.

Revenue from its 'computing' business declined and gaming revenue fell by 3%.

LinkedIn contributed revenue of $228m following Microsoft's acquisition.

Satya Nadella, chief executive officer at Microsoft said, "Our customers are seeing greater value and opportunity as we partner with them through their digital transformation ... Accelerating advancements in AI across our platforms and services will provide further opportunity to drive growth in the Microsoft Cloud."

Amy Hood, executive vice president and chief financial officer at Microsoft added that she is, "pleased with our results this quarter.

"We see strong demand for our cloud-based services and are executing well on our long-term growth strategy."