Microsoft today announced a revenue of $26.5 billion ($7.8 billion of net income) for the quarter ended December 31, 2014. Microsoft also revealed that they have earned $2.3 billion in Windows Phone hardware revenue, with 10.5 million Lumia units sold.
Overall, Windows Phone revenue declined 61 percent, despite the $2.3 billion in earnings during Q2 2015. According to Microsoft, this was “due primarily to prior year recognition of approximately $650 million from the Nokia commercial agreement which terminated upon the completion of the acquisition in Q4 FY14.”
“Microsoft is continuing to transform, executing against our strategic priorities and extending our cloud leadership,” said Satya Nadella, chief executive officer of Microsoft. “We are taking bold steps forward across our business, and specifically with Windows 10, to deliver new experiences, new categories, and new opportunities to our customers.”
“We remain disciplined in our approach to operational and execution excellence, balanced with investments that drive meaningful growth for the business while increasing capital return to shareholders,” said Amy Hood, executive vice president and chief financial officer of Microsoft.
Aside from the 10.5 million Lumia units sold (an increase of 1.2 million compared to the previous quarter), Microsoft also sold 40 million non-Lumia phones during Q2 2015. This market saw growth thanks to sales of affordable Windows Phone devices.
Further reading: Lumia, Microsoft, Q2 2015, Windows, Windows Phone
