Microsoft has released its fiscal 2024 Q4 earnings report, which covers calendar dates from April 1 to June 30, 2024. This is Microsoft Gaming’s first fiscal Q4 earnings report since its acquisition of Activision Blizzard King, which is something to keep in mind when looking at year-over-year quarterly comparisons.
Microsoft Gaming revenue per quarter
Key numbers from the report that relate to the Xbox gaming division:
Revenue from the division as a whole grew by 44%, but most of the growth came from Activision Blizzard King. Without their results, the decline would have been 4%. Sales of games and subscriptions (Game Pass) is the fastest growing segment of the gaming division. The direction grew by 61% in revenue, without Activision, the growth would have been 3%. Xbox gaming consoles are selling weaker – revenue from console and hardware sales fell year-on-year by 42%, last quarter the decline was 31%.
Comments Satya Nadella
The head of Microsoft, when announcing the information about the income of the Xbox gaming division, made several comments:
The Microsoft Gaming team managed to reach an average monthly active audience of 500 million users across all devices. Nadella noted that this is a great success, which they plan to actively develop. The “content pipeline” has never been as powerful in the Xbox gaming division as it is now. Nadella notes that in June, a major presentation was held where 30 games were shown, of which 18 will be in Game Pass immediately after release, including Call of Duty: Black Ops 6. Separately, the head of Microsoft noted the recent launch of Xbox on the Amazon Fire TV device, which allowed a new audience to access the company’s games. The successful release of the Fallout series led to a 5-fold increase in the number of hours that players spend in the series’ games on Game Pass.
Overall, Microsoft’s performance is growing, according to the report. Total revenue for the quarter was $64.7 billion (up 15%), and net profit was $22 billion (up 10%).
