Wednesday, April 16, 2003
Microsoft Reports Third Quarter Earnings - CE Revenue up 26.7%
Posted by Ed Hansberry in "THE COMPETITION" @ 12:00 AM
Microsoft reported earnings for the third quarter. I haven't dug into the number yet because, well, they are obscenely profitable so what difference does it make? :wink: What I am interested in though are the business segments, namely one called "CE/Mobility" and how that compared to PalmSource.
Chart: CE/Mobility Revenue for the past 7 quarters. (Click to see 11 quarters)
In the above chart, you can see, in millions, for both the CE/Mobility group in Microsoft and PalmSource. Note that for the PalmSource 11 month figure, I knew that the first two quarters were $42M, but didn't have a quarterly breakout, so I just divided by two. If anyone has the actual figures for those quarters in 2000, let me know. Also note that these are Microsoft quarters. MS has a year end of June 30, so their quarters are Sept 30, Dec 31, March 31 and June 30. Palm is one month offset. Their year end is around May 31, so their quarters are approximately Aug 31, Nov 30, Feb 28 and May 31. I say approximately because Palm counts days in their quarter and doesn't use the calendar month ends.
Below, you can see this data charted.
The two upper lines, red for Microsoft, blue for PalmSource, use the Y axis on the right and are the trailing 4 quarters revenues. You can see that Microsoft's revenues from the CE/Mobility division are clearly growning. PalmSource's, well, aren't. They are declining in fact. No big surprise as Palm's marketshare numbers have been steadily sliding since early 2000.
The two lower lines, yellow for Microsoft, light blue for PalmSource, show the quarterly numbers and use the Y axis numbers on the left. Again, MS is steadily climbing except for the last two quarters where it has jumped up considerably. Revenues are up 26.7% over the quarter ended December and up an astounding 81% over the same quarter last year!
To be fair, I don't really know how much of the CE/Mobility revenue is Pocket PC and Smartphone vs the embedded CE business. By the same token, I don't know how much of PalmSource is PalmOS vs Palm Digital Media, or Peanut Press. Given revenues from Palm Digital Media have doubled in the past 12 months (See Jan. 7 press release at Palm's site - no direct link available - darn java :evil: ) and PalmSource revenue declined overall, it is masking an even sharper decline in PalmOS revenue than we are seeing in the financial statements.
Chart: CE/Mobility Revenue for the past 7 quarters. (Click to see 11 quarters)
In the above chart, you can see, in millions, for both the CE/Mobility group in Microsoft and PalmSource. Note that for the PalmSource 11 month figure, I knew that the first two quarters were $42M, but didn't have a quarterly breakout, so I just divided by two. If anyone has the actual figures for those quarters in 2000, let me know. Also note that these are Microsoft quarters. MS has a year end of June 30, so their quarters are Sept 30, Dec 31, March 31 and June 30. Palm is one month offset. Their year end is around May 31, so their quarters are approximately Aug 31, Nov 30, Feb 28 and May 31. I say approximately because Palm counts days in their quarter and doesn't use the calendar month ends.
Below, you can see this data charted.
The two upper lines, red for Microsoft, blue for PalmSource, use the Y axis on the right and are the trailing 4 quarters revenues. You can see that Microsoft's revenues from the CE/Mobility division are clearly growning. PalmSource's, well, aren't. They are declining in fact. No big surprise as Palm's marketshare numbers have been steadily sliding since early 2000.
The two lower lines, yellow for Microsoft, light blue for PalmSource, show the quarterly numbers and use the Y axis numbers on the left. Again, MS is steadily climbing except for the last two quarters where it has jumped up considerably. Revenues are up 26.7% over the quarter ended December and up an astounding 81% over the same quarter last year!
To be fair, I don't really know how much of the CE/Mobility revenue is Pocket PC and Smartphone vs the embedded CE business. By the same token, I don't know how much of PalmSource is PalmOS vs Palm Digital Media, or Peanut Press. Given revenues from Palm Digital Media have doubled in the past 12 months (See Jan. 7 press release at Palm's site - no direct link available - darn java :evil: ) and PalmSource revenue declined overall, it is masking an even sharper decline in PalmOS revenue than we are seeing in the financial statements.
