Microsoft Corp. MSFT -3.68% is slated to report financial results Tuesday afternoon for its fiscal fourth quarter ended June 30. Here are key themes to keep an eye on:
–EARNINGS FORECAST : Microsoft is expected to post a loss of 30 cents per share, according to the average analyst estimate compiled by Thomson Reuters, as the end result is driven by a reduction and restructuring whopping mobile operating company. Excluding this and other one-time effects financial successes, the average estimate profit of 56 cents per share, compared to 55 cents in the previous year.
–REVENUE FORECAST : Microsoft’s sales are expected to fall about 6% from a year ago to $22.06 billion, according to Thomson Reuters estimates, because sales of Windows software and Office software licenses continues to decline along with PC sales.
WHAT TO WATCH :
–A MOBILE REBOOT (AGAIN) : With its $7.6 billion accounting charge and more employee layoffs in the mobile business, Microsoft also essentially admitted it needs a new strategy for its Windows smartphones, which have a tiny 3% market share.It is to the CEO Satya Nadella investors sell mobile strategy to restart the task will not be easy, investors cautiously repeating the mistakes of mobile Microsoft to sell. With Microsoft’s efforts, the cost in some border areas of mobile business and Wall Street also keep a watchful eye is cut in operating expenses, the company said it will more or less flat in the current fiscal year.
–WINDOWS 10 : The latest version of Microsoft’s operating system in the next week, but you never know. Low expectations of Wall Street analysts believe that the new software that Microsoft does go for many PC users free of charge to improve both the decline in sales of new equipment. Wall Street is also seeking greater clarity from Microsoft about how finances impact of the new Microsoft Windows. Since Windows 10 users will get future updates of fresh software for years, perhaps for the first time Microsoft is recognizing revenue from new Windows PC for several years and not in one lump sum.
–BUSINESS IS KING : Several Microsoft stumbles in the areas of consumer technology sometimes hide a story of incredible success in the areas of business computing lower profile,for example,sales of server software , databases , computing cloud and software bundle.Such Office enterprise customers to generate the most the profits of Microsoft and are the main reason for the optimism of investors in Microsoft.Analysts have Microsoft’s sales of software to accurately track in the cloud,and the company to keep doubling the revenue growth in this business for the share price more or less flat this year to show a lift.