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Microsoft quarterly profit falls on handset business costs

2015-04-23 23:01:00| Telecompaper Headlines

(Telecompaper) Microsoft reported earnings down 10 percent year-on-year to USD 0.61 per share in its fiscal third quarter to March, hurt by costs for restructuring and integrating the former Nokia mobile phone business. Microsoft said the USD 190 million in restructuring costs in the quarter took 1 cent off earnings, while the 4 percent rise in its operating costs was also driven by the acquisition of the Nokia operations. This pushed its operating profit 5 percent lower to USD 6.59 billion. The gross margin was still up 1 percent to USD 14.57 billion, and revenues rose 6 percent year-on-year to USD 21.73 billion. The mobile phone business contributed revenue of USD 1.4 billion, and Lumia smartphone shipments rose 18 percent year-on-year to 8.6 million. The company also shipped 24.7 million feature phones in the quarter. 

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