Microsoft beats revenue expectations as pandemic continues to fuel sales

Microsoft exceeded Wall Street analysts’ expectations for quarterly revenue by nearly $3 billion, it reported Tuesday.

The results signal that the pandemic is continuing to buoy the tech giant’s business — from computers and gaming systems to the cloud computing systems helping companies navigate continued remote working.

Microsoft posted $43.1 billion in revenue for its fiscal second quarter — a 17% increase from the same period in the prior year and well above the $40.2 billion analysts had predicted. Income hit $15.5 billion, or $2.03 per share, compared with the $1.64 earnings per share Wall Street predicted.

The company’s stock shot up more than 6% in after-hours trading Tuesday.

“What we have witnessed over the past year is the dawn of a second wave of digital transformation sweeping every company and every industry,” Microsoft CEO Satya Nadella said in a statement. “Microsoft is powering this shift with the world’s largest and most comprehensive cloud platform.”