6.6 Million Xbox One & Xbox 360 Shipped in Latest Fiscal Quarter; Microsoft Announces Strong Results

At the closure of the stock market Microsoft just announced its financial result for the second quarter of fiscal year 2015, ended on December 31st.

[Foehammer]

Congrats MS

$26,000,000,000 in revenue

Gross margin for the Computer and Gaming Hardware Division is way up for the 6 months ending December 31st:

2013...616 million

2014...939 million

Computer and gaming Hardware division revenue, 6 months ending December 31st

2013...5.879 billion

2014...6.450 billion

Commercial CLOUD revenue up 114%

Well done

[Kayant]

*20% decline

@aviator189

"20% decline in revenue for Xbox, not the business as a whole."

What does it look like I was referring to something else? Gaming news means about Xbox divison. 20% clearly refers to Xbox platform from the article.

[aviator189]

20% decline in revenue for Xbox, not the business as a whole.

edit: @kayant

well....you were replying to foehammer's comment, where foehammer said that ms made a revenue of $26 billion. And then you replied with "20% decline."

Keeping that in context with foehammer's comments, I'd figure you were keeping your comment within context of foehammer's comments. Otherwise, you'd have specifically mentioned "20% decline in revenue for Xbox."

[IrishSt0ner]

Talk about subjective bias. "Revenue decreased 20% for the Xbox platform as a whole compared to the same quarter last year (which was the quarter in which Xbox One launched)."

Leaving that last line out shows how disingenuous you are. So transparent.

[ImAPotato]

Why are people disagreeing with you? idk, but anyways Congrat's Microsoft! They only sacrificed a 20% decrease in revenue but greatly grown their fan base, and improved their status in the gaming market.

[Svinya]

Not to mention made headline news with their sales. Good publicity.

[christocolus]

@Foehammer

As a big MS fan its really good to see them growing year afer year.I was going through the CEOs letter to his staff after he took over and months after we can all see the impact he has made. Sadiya is going well. The house that Bill built was made to last and it shows. MS has kept on growing and keepin its shareholders happy. They have strived to remain relevant all through these years despite stiff competion from other tech giants and with sadiya Nadella at the helm of things i see an even brighter future for them. Great financials. The future of looks bright for MS.

[lemoncake]

Glad to see the surface pro doing well, this new version is really great and with windows 10 and xbox streaming coming this year things are only going to get better for it.

[Fishermenofwar]

Even though you're a troll...Still love your user ID

The Foehammer!!!!!(hides in corner)

[XB1_PS4]

Agreeing and disagreeing should be taken off of this site. It's useless, and annoying. It just shows how many little kids are on here voting for their favorite system.

This is great for MS. They've been impressing me as of late.

[Automatic79]

Congratulations to Microsoft and Xbox for another strong quarter.

[ion53]

You're telling me MS made 26 TRILLION dollars.... Urm. That's more than the US national debt

[WilDRangeRfc]

114 salty Sony fans sad really I want both to do well make money and keep delivering great games and experiences,some people are so jealous and bitter,love my X1 and PS4 keep mmmm coming Sony/MS
#fanboysneedtofindanotherhobb y

[TheLyonKing]

I wish MS would stop doing joint numbers because one or another isn't doing too hot. I would rather know indivdual numbers and also I would like know know sold through to consumers but then again thats just me.

[Abriael]

The Xbox 360 isn't doing too hot, according to the slides.

[BitbyDeath]

They had shipped 7.4 million same quarter last year though.

http://www.vg247.com/2014/0...

So neither are really doing that great.

[Abriael]

@BitbyDeath: no shit, last quarter was the Xbox One launch quarter. Of course they shipped more.

[BitbyDeath]

Language their mate.
Xbox One arrived in late November last year, the quarter begins 1st of October.

Don't you think the extra almost 2 months on market should hold greater impact than launch? Especially considering MS had a pricecut with anywhere between 2-4 games being given away.

[Mr Pumblechook]

So the figures are shipped to retail and not sold.
So the figures are not just XBO but include 360.

Sometimes I wish Phil Spencer could be more open and quit the smoke and mirrors.

[HannibalBarca]

Im getting real sick of your disrespectful comments torward other posters, some journalist.....

[darthv72]

@lyonking, combined numbers is nothing new. Sony is/was quite privy to that all last gen. At their conferences they would talk about the Playstation platform as a whole. That is the PS2, PSP, PS3. and they still do that when talking about PSN.

they always talk up the combined total of users registered and amount of pieces of software sold/downloaded. It is the #1 rule of marketing. you make the information as appealing to the public (especially the shareholders) as you can.

It doesnt take much to break it all down to the individual numbers if it really bothers people. and the whole shipped vs sold debate.... MS sells units to retailers. Retailers sell units to consumers. that is pretty much how it works. Ms may sell units to consumers as well through their retail channels but the bulk of their sell through is to the stores themselves.

MS can sell 1 million units to toys r us and toys r us can sell 1000 to consumers. but to MS they sold 1 million to toys r us. That's good for the accounting dept.

Numbers are numbers and games are games. I'd rather play games than numbers personally. we all feel like we are shareholders to some degree so that partially explains why sales articles are so full of life.

[Pogmathoin]

Darthv, are you suggesting some here like to move the goalposts while pointing a finger elsewhere? Meanwhile when you point, your 3 other fingers are pointing back....

[darthv72]

@pog, considering last gen Sony was supporting multiple platforms while MS was really only supporting one.... what do you think?

until the 360 is finally put out to pasture, we will get combined totals. like i said, its nothing new and you can dig deeper if it interests you.

goal posts are constantly moving in the gaming industry. where they dont is in professional sports. Unless they are tearing them down to set the field up for monster truck races or something.

[uptownsoul]

@darthv72

I see what your saying, but Sony (in 7th generation) was in a bit of a different situation, especially during the PS3's first year. With the PS3 launching a year after the Xbox360, Sony was trying to show the PS2 sales of 2005 & the PS3 sales of 2006. Had the Xbox One released a year after the PS4 then I could understand the Xbox 360/Xbox One joint numbers. But as it is, they both launched within a week of each other so the launch variables are the same

[OrangePowerz]

Going by AMDs comments of almost 30 million PS4 and X1 shipped and MS saying in (I think) September almost 10 million shipped the majority if these shipped units should come from X360.

[miyamoto]

Wow even Microsoft won't disclose actual Xbox One units shipped let alone sold...
And why last 2013 they published split results?
Now why did they not publish split results?
Are they embarrassed?
Hmn what are they hiding under the 360's skirt?
Very interesting....

[u got owned]

are you planning on buying some market shares?

[christocolus]

lol. going by the comments here i think many of them plan to. lmao. I really don't know why this is bothering some in here.These are fantastic figures.downplaying it wont change them.lol. great job MS. very few companies can boast of figures like these.

[slate91]

Lmfao

[Manic2014]

To be fair these numbers are not for us but for the investors.

[OldDude]

Don't waste your time, half the people here will never get that, nor understand it.

[Grap]

wait you mean MS doesn't care if TheLyonKing is not satisfied about the news bbbb..but i thought bill gates always visit n4g to read his comments.

[dcbronco]

Actually they probably wouldn't understand them even if they were an investor. The reality of the numbers is in Microsoft's favor either way. If it's mostly Xbox Ones, the new console is selling well. People don't ask you to ship more of a product they can't sell. If its more Xbox 360, then Microsoft is making a large profit. The 360 makes a large profit on each unit sold. So they win either way. And so do their investors. An investor that bought just before Ballmer left actually has almost doubled their profit on the stock. Weird considering they haven't really done anything different. Just a lesson for you youngsters. Stay away from that stock market. It's a scam.

[Gamer1982]

Indeed but if we dont have the numbers what are the children gonna fight over??

[lonelyplayer]

I'd say more than half don't understand it. I posted a comment (#4) about the market(investors) response to the results(not just these numbers) and they marked it as off-topic. It's probably the most on-topic comment in the whole thread. Heh.
And if you look at the replies I got.. it's even worse.

[dcbronco]

Even further proof that they don't get it is I bet the people that disagree with my comment did so because they believe the 360 still loses money. Ten years after release they still believe it is sold at a loss.

[Hereiamhereibe2]

So investors don't check news websites?

#logic

[Macdaddy71]

Lol...you can tell your a gamer!!! What you are looking at is for share holders n people that would be buying stock,...it's not for you to see how many of each console sold... I wish they would not even post this stuff for MS or Sony,..know it will be all over the interweb that MS not doing good, ship console not sold, ect....please understand what you are reading before you Flame a company for something that YOU!!! Don't understand lol... Do a little something called HomeWork then you will be a LOT smarter sounding

[TheLyonKing]

My friend actually heavily dabbles in shares (mainly component companies that provide parts for items like ipod, consoles and other phones) he has taught me a lot about shares and your max pay in before you pull out of shares and I do a few shares in sporting companies such as adidas. Not a lot of money but enough to know the market. Yes I am a gamer, are gamers not allowed to be interested in stock prices or investor meetings? Curious on your thoughts as to why you think k that?

[Grap]

Yes but my friend is also a huge stock holder in a lot of sports clubs but i think he is not real, imaginary friend who lives in my basement.

[TheLyonKing]

@Grap well its nice to know you have a friend at least however imaginary he is. The point I am making his the thin veil of saying this is how well our over arching gaming division actually doesn't fly too well with investors at meetings. They prefer individual numbers rather than grouped.

[Death]

As an investor I honestly do not care how each segment does in the stocks I hold. The only thing I care about is the dividends I receive and how well my stock does compared to other stocks in the market. I do not own Microsoft stock at this time, but I do follow it on the stock market. I also read the quarterly and annual releases. Xbox does very well, but not as good as other divisions within the company. The reason it's not much of an issue is because it diversifies Microsofts stock making it much more stable. By having multiple divisions going after multiple market segments it makes it easier to keep the stock steady if one division falters. The same holds true for Sony stock, but they have been spinning off segments to try and make the companies stock more attractive. In the long term it can hurt the company since they are becoming much less diverse.

There is nothing wrong with following company stock and performance. As a gamer you need to know when the company is talking to you as a gamer or to investors though or it can get a little confusing. As gamers we tend to funnel all statements to us which is not a good habit.

[falviousuk]

Why do you need to know the numbers sold, are you a share holder in MS stock or Sony stock

[BitbyDeath]

It's all part of competition, same reason people keep track of scores in Basketball. (Or insert other sport)

[crashbash]

@BitbyDeath

Being a fanboi is a sport now?

[Tony-A]

Seriously? Can curiosity be enough?

We're humans, humans are curious, it's human nature. I don't own the universe but I'd love to find out as much as possible. Get it?

It's literally the one reason why we even clicked on this article.

[Gamer1982]

Why do you need to know? In fact why does anybody need to know?? This is N4G news for gamers and lets be honest why does any gamer need to know how much Money MS made last year?? In short.. We don't its pointless and does nothing but cause silly comments.

The best rule N4g could ever employ is ban all sales articles relating to consoles but they won't as I reckon 70% of their traffic come from them sadly..

[Death]

Why do gamers need to know how much money Microsoft made? Was Sega's financial health important to Dreamcast owners? A consoles success is dependent of the companies success. As much as fans want to deny it, Sony's long term plans for the PS4 rely on the companies ability to stay solvent.

[Kidmyst]

Is MSFT the only ones using shipped figures? I don't ever recall seeing Nintendo or Sony saying shipped. Maybe I am missing those articles too.

[Gamer1982]

They have to used shipped numbers to look better to be fair if they used sold they would look even lower.. They want to be looking at least to the general public like they are as close as possible. Anybody would.. Its not lying its bending the truth to suit your needs and it works for them. Its why they celebrate they wont a month and forget that America isn't the whole planet.

[DanielGearSolid]

Revenue and Gross Margin dropped
(first of all nice job resisting putting that in the headline, to make it a clickbait title)

I'm not a financials expert but how often does that occur during the christmas fiscal year. You would think everything would go up

(Unless its in comparison to 2014 2nd quarter)... idk these things always confuse me

[Manic2014]

Yeh its compared to the same quarter last year.

[Abriael]

First party games up 79%, Xbox Live up 40%, looks like strong results to me.

[DanielGearSolid]

i wasnt being sarcastic...

i hate when bloggers highlight negatives in their titles just for clicks

[Sonital]

Yes comparisons are always to the same quarter the year before.

[DanielGearSolid]

Got it, compared to same results last yr

yea, not bad

[Death]

At least now we know how many millions Microsoft "lost" giving away the Xbox One over the holidays. They made $460 million in the division on sales of $4 billion. Revenue increased $1.5 billion, but gross margin was slightly less ($20 million) than the quarter before.

[brotherlymoses]

Wo wo wo, I didn't know everyone was a business major.

Are you guys really arguing over how much money these companies make? Lol this is sad.

[Julion0715]

It's crazy how ppl care about the this info I mean as long as they keep supporting the system idc what sold or did not sell. Ppl use these numbers for an agenda sold more doesn't mean one system is better than the other

[crusf]

You should care. If your favorite system is failing financially say goodbye to any support for it. This is an industry after all.

[uptownsoul]

Well since neither system is failing financially nobody has to worry about that...

[christocolus]

As a big MS fan its really good to see them growing year afer year.I was going through the CEOs letter to his staff (just after he took over) and months after we can all see the impact he is making. Sadiya is doing very well. The house that Bill built was made to last and it shows. MS has kept on growing and keeping its shareholders happy. They have strived to remain relevant all through these years despite stiff competition from other tech giants and with Sadiya Nadella at the helm of things i see an even brighter future for them. Great financials and nice to see Phil Spencer doing a great job with the xbox division. The future looks bright for MS.

[RiseofScorpio]

Satya is a legend, he personally promoted Phil Spencer.

[medman]

Still with the shipped numbers, eh? Sigh...

[ThePope]

These numbers are for shareholders and if MS ships a console to a retailer they are paid for it. So shareholders only want to hear about the money the company makes. Why do,you care about sold through numbers it doesn't make any console better to play if it's doing better than the competition and vise versa.

[Gamer777]

When they ship consoles they sell directly to retailers; thus Microsoft makes revenue off of shipped consoles.

[WilDRangeRfc]

Still salty about MS Billions in the bank eh? Sigh...

[hello12]

You get stupid numbers on Neogaf the reality is Microsoft likely has shipped between 13 and 14 million units worldwide-12 million likely sold through or slightly higher. Roughly the numbers i gave two weeks ago.

6.6 million units 360+xb1 shipped from October to December. Microsoft would be winding down production of 360 not increasing, with x box 1 been their priority.

20% drop in x box revenue isn't explained, so its hard to know what it could be that could be anything including advertising, subscriptions, game sales who knows.

Multiconsolegamer@ Some neogaf members did put Microsoft at 12 to 13 shipped, a few members on there who have some commonsense.

In regards to the NPD Sony is on course to win January. The sales outlook looks good for Sony from what i am seeing.

[Lenrulesdaworld]

20% drop was from the new sku and $50 discount on the kinectless xbox, expect an increase this year when kinect sales increase when hololens drops for xbox one.

[IGiveHugs2NakedWomen]

Still less than 10 million units SOLD THROUGH. The console itself is becoming overstocked and there's plenty of supplies which is probably the reason for the price drop. Supply And Demand.

[Death]

Less than 10 million sold thru? You honestly think the retail channel is holding 3 million consoles? That doesn't really make much sense. I would imagine if the number shipped is the more conservative 12 million, sold thru will be closer to 10.5-11 million. If they indeed shipped 13 million to retail you can adjust that number accordingly.

[WilDRangeRfc]

You always talk BS get out of MS articles your obsessed pal

[_LarZen_]

Still not going out with concrete sales numbers for Xbox One means the number is so low Microsoft consider it damaging for the Xbox brand to go out with it.

[RiseofScorpio]

Our shields can't repel stupidity of this magnitude.

[AKissFromDaddy]

@_LarZen Nailed it.

[Lenrulesdaworld]

if you think 360 moved a million units over 3 months, your lying to yourselves.

[MultiConsoleGamer]

These are very strong numbers. Although clueless fanboys and the marketing scum on NeoGAF will do their best to say otherwise.

And MS is about to win January NPD. Third monthly NPD victory in a row.

Meanwhile their primary rival in the gaming market is about to post a company wide yearly fiscal loss in excess of 2 Billion Dollars USD. This will be yet another consecutive yearly loss as the company in question continues to slide into bankruptcy.

Meanwhile Apple is making some minor gaming announcements later in the month and Nintendo continues to be Nintendo.

[Subaruwrx]

@multiconsolegamer. NPD is up for grabs this month. The PS4 has been leading the best seller lists at Walmart, Best Buy, Gamestop and especially Amazon for a good portion of the month despite MS's reinstatement of the X1 price cut. The TLOUR bundle is selling quite well. A X1 win of the Jan. NPD is far from a forgone conclusion - it could go, imo, either way.

[brew]

Toys R Us also has a "most popular" list.

I checked last week a few times and the PS4 was ahead to my surprise.I figured the Xbone would do better there with a cheaper price for the families and kids.

And when I looked just now -

#17 - $399 PS4
#23 - $399 PS4 bundle (4 games.1 pick)
#27 - $349 Xbone AC bundle

Jan NPD should be interesting.

[remixx116]

So does saying all this make you feel happy?

Was the name singleconsolegamer ready taken?

[OpenGL]

Sony stock closed at a 3 year high today, things while still difficult are not as dire as they once appeared for Sony.

Anyway I think it's impressive that the 360 and PS3 are still selling well, the 360 will be 10 years old this fall. Really amazes me how long these machines have stuck around.

[Death]

Let's put that in perspective

Sony 10 year,
http://quotes.wsj.com/SNE/a...

Samsung 10 year,
http://quotes.wsj.com/KR/XK...

Microsoft 10 year,
http://quotes.wsj.com/MSFT/...
On an intereting side note, check out Microsofts stock today in reaction to the last quarterly results.

If you owned Microsoft stock prior to the recession you would have jumped for joy at it's peak price of $35.60 a share in October of 2007. If you still had that stock in January of 2009 you would have jumped off a bridge as it hit $18.37 per share. If you would have held on to it, the value in January of 2014 was $46.45 per share. Anyone that jumped aboard in 2009 made a lot of money on their investment.

In contrast, Sony stock has not recovered since 2007 and is still worth less than half it's peak value today.

[kenwonobi]

@Death. Again Death. Sony is recovering slowly. It is blowing its nearest competition Microsoft out of the water in the gaming industry 2 to 1. Profits are coming. The system is already making money not losing it like PS3. You even gave a few examples how a few years of good money coming in makes a difference. Sony is making money hand over fist on Ps4 now.

[crashbash]

'Sony stock closed at a 3 year high today, things while still difficult are not as dire as they once appeared for Sony. '

Anyway, I'm going to try not to appear to be a fanboi and praise both companies on my parting words.

[JMyers]

You are somewhat deluded... For one, if you think MS will win the Jan NPD without backing it up with any logic, then that's just riduculous. The XB1 was more expensive in January for 2 weeks. Plus their wordwide sales are still no where close to Sony's week on week. In fact its about 2:1.

Sony as a whole may be losing money, but the PS is till profitable, which means they will focus more on what is making them money, with more investment. If one thing is certain, they will not give up on the most successful part of their portfolio.

[kenwonobi]

Dude. Microsoft is gonna lose January globally by 2 to 1 to Sony. Its not really time to brag. Sony is dominating just as much as ever. Just less in NA but more everywhere else.

[Toiletsteak]

I love how you fanboys love numbers, both consoles are selling great thats all that matters.

[DEEBO]

I need games what's feb lineup look like?

Hope dyinglight is a hit.

[WizzroSupreme]

I like the Xbox One of 2015. Can't wait for what's in store.

[Lukebb91]

Of all of the different articles covering interesting things about games, meaningless articles like this get read the most.

How can you care about something only people that work at microsoft should care about.

[remixx116]

Actually you are right, as "gamers" shouldn't we care about.......maybe games I guess and our love for them. Yet all I see is hatred being spewed over games and the love of bigass numbers with multiple commas.

[christian hour]

I think as gamers its also in our best interest to know the sustainability of the market and the ins and outs of the industry, you don't have to keep up on it all, but for some folk their hobby extends beyond pressing buttons on a controller.

Of course I understand where you're coming from, its annoying when fanboys come in here and turn it in to a god damn flame war.

[Predaking77]

Xbox fanboys cared about numbers the whole seventh generation.

Now, on this generation, they don't care about numbers and ask you: Why do you care about numbers?

Amazing how statements change according to the position of your console of choice.

[christian hour]

While that is very true, it is silly to make generalisations and assume the xb1 owners saying "numbers dont matter" are the same people saying they did last gen.

[MannGamer]

Down from 7.4 Millions Xbox shipped last year during the same quarter. Not really looking too good for all the advertisements and price cut they had going during this quarter

[uptownsoul]

To be fair the same quarter last year was the Xbox One launch quarter so I doubt they would have matched or surpassed that…ALTHOUGH, the PS4 may have come close to matching/surpassing their launch quarter

[AutoCad]

Xbox on a roll.

[Miacosa]

Wow , hopefully they will start selling again into peoples homes does no good in a warehouse.

[ironmonkey]

Lol well i hope they do well theyve been hard at work to keep the xboxone a float And its working steady. as long as they keep the people interested like myself, eventually i to will have one in my home. For exclusives only tho.

[Killzoner99]

Wow I thought it was suppose to be 10 million and this is not sold units it is SHIPPED. Guess slashing the price didnt do anything. Not good news for the Xbone.

[destroyerz1]

Not bad.

[urwifeminder]

Doing well making cash they can actually pay a dividend to share holders wow ha ha , looks over at the hottest games on N4G lmao.

[SpaghettiBandit]

I dunno why Xbox sales matter so much Microsoft could buy Sony 19 times over, you fanboys really think Microsoft would go under because of Sony ahahahaha if they really felt a threat about something as unimportant as a video game system Ala ps4, they would just buy Sony out and you Sony fanboys are all about numbers so there you go

[CaptainObvious878]

I wonder if we'll ever get total shipped numbers from MS for just the xbone, let alone sold numbers?

I'm guessing we'll be going through the entire generation and never truly know how much the xbone has sold.

[dreadz74]

Good job MS profits are high...Yet Sony has asked for more time for their reports..We know sony is coming in @ a loss will it bee 400 million or 500 million is the question..Yet MS made billions of dollars in profits.Just wait till hololense releases later this year everyone will want one profits for MS will be @ a all time high IMO...TO be fair I will get morpheus for my PS4 if its good..

[CaptainObvious878]

You'd think with all that money MS has that some of you keep braging about they could have made a hugely powerful console without the need to try to include draconian DRM to extract as much money from their customers as possible.

They could also invest in their own 1st party developers and actually contribute to this vibrant industry instead of just buying everything up.

It truly is astounding how anyone can defend this company.

Sony's losing all this money and still they manage to put the gamers first.

[poor_cus_of_games]

is that it?

[IGiveHugs2NakedWomen]

Does anyone know how many Xbox One consoles have been sold to customers, not shipped? I'm still wondering why these numbers have to remain a secret.

[ipar1]

Most companies use the term "SHIPPED" even Sony (I know shock/horror).
Especially a big company like Microsoft being as they are the second biggest company in the world.

[JMyers]

I would really like to know how much the XB1 sold through worldwide in the last quarter, and what percentage of this was over the holidays and in the US.

I guess we will never know.

[Flames76]

Wow 6.6 million just during the last quarter no wonder Xbox divison is up and XOne broke records this past holiday season.

[plmkoh]

Microsoft is down ~9.9% today. The NASDAQ market is down about ~2.2%, so I'd attribute 7.7% to this earning release.

[kenwonobi]

You know I keep looking at VG Chartz and Microsofts claims just keep going up and up yet hasnt outsold Sony not one month yet. Sonys number hasnt changed in a while and its been nearly a month. They need to track better on that site.

[DivineAssault]

They combined sales of xb1 & 360 like sony does with all its hardware but now its ok for the fanboys?

smh who cares?
Good sales for all the companies is healthy.. I fear a decline in software sales because of devs being rushed by publishers to release broken games.. When atari kept having garbage titles released, the gaming division crashed.. I dont want that to happen again

[MadMenX]

Thats how you make results and run a business. Well done.

[xx4xx]

Wow. Another amazing financial report for Microsoft. They are the train that just keeps rolling.

I wonder when they are going to start buying up other struggling companies. I think there are a few that they could easily purchase that they are in direct competition with....but I won't mention any names.