Microsoft reports first quarterly loss since 2012 after Nokia write-down
- 22 July, 2015 06:55
A building on Microsoft's Redmond, Washington campus
Microsoft has reported its first quarterly loss in three years, largely as a result of a $7.5 billion write-down for its acquisition last year of Nokia's devices and services business.
Microsoft's net loss for the quarter, the fourth of its fiscal year, was $3.2 billion, compared to $4.6 billion in profit during the same period a year earlier, the company announced Tuesday. That translated into a loss of $0.40 a share. Microsoft's quarterly revenue declined more than 5 percent year over year to $22.2 billion.
The news comes after a few tumultuous weeks for the company. Microsoft announced two weeks ago that it was cutting 7,800 jobs to streamline its smartphone hardware business. The company also transferred technology and employees from the Bing Maps team to Uber and sold part of its display advertising business to AOL.
Next week marks the official launch of Windows 10, the next major update to Microsoft's operating system. Terry Myerson, the company's executive vice president of Windows and Devices, said at the Build developer conference earlier this year that Microsoft plans to have more than 1 billion devices running Windows 10 by the end of its 2017 fiscal year two years from now.