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Microsoft has to report loss due to 2007 acquisition

Written by Andre Yoskowitz (Google+) @ 19 Jul 2012 20:58 User comments (4)

Microsoft has to report loss due to 2007 acquisition Microsoft reported record revenue during their quarterly earnings today, although they had to post a loss, their first ever.
Revenue came in at $18.06 billion, a record, but the company had to report a loss of $492 million. The loss was due to a massive write-off of $6.2 billion from their 2007 acquisition of aQuantive. The ad company just never panned out, and Microsoft lost almost all it invested to purchase it.

Without the one-time charge, revenues were up 7 percent year-over-year and profits would have been up 12 percent.

Revenue in the Entertainment and Devices division (Xbox 360, Windows Phone, Xbox Live) grew the most, spiking 20 percent to $1.7 billion.

For the fiscal year, Microsoft posted $73.72 billion in revenue and $21.76 billion in operating income.

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4 user comments

119.7.2012 21:12

I'm sure Bill Gates is really worried and ready to liquidate all his assets.


20 Year U.S.Army Veteran.Vietnam 1969-1972 101st Abn.Div.

220.7.2012 5:57

Quote:
The loss was due to a massive write-off of $6.2 billion
Good God, they can afford to write off $6.2 billion in a single quarter!?

320.7.2012 11:02

"HAD" to report a loss? I cry bullshit on this one... It says it right in the article, it was due to a 'write off'. M$ will actually 'make' money from the loss. Yeah, I know, a contradiction, but from a corporation this huge it actually does work out that way.

Facts are, they went their 5 years on the taxation highway & now it's come time to put up or shut up with Uncle Sam. Judging by this article, they're going with victimization & waiting for the benefits after the first of the year seeing as it will buffer the uber success of their other ventures.

It's the exact same game Hollywood plays to hide their money.


420.7.2012 16:09

Stay tuned.
More to come.....................

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