Microsoft reports quarterly profits exceeding expectations with support from cloud services

Microsoft Corp. Reported Better Than Expected Quarterly Earnings, in how strong performance of its cloud services business helped offset its decline in the personals market computerprompting the company’s shares to climb 4% in trading after hours.

Microsoft’s strong results risk allaying fears of a collapse in the technology sector, which questyear has laid off thousands of employees in prediction of an economic recession, according to Reuters.

And “Microsoft” said on Tuesday that its Azure cloud service revenues increased 31% in the second quarter, in line with platform estimates (Visible Alpha), while the intelligent cloud services industry in General reported revenues of $21.5 billion, compared to expectations Refinitiv gathered from Wall Street that revenues would reach $21.4 billion.

Microsoft’s revenue rose 2% to $52.7 billion in the three months to Dec. 31, compared with an estimate media by analysts of $52.94 billion, according to Refinitiv’s brokerage system.

On an adjusted basis, Microsoft’s earnings were $2.32 per share, versus expectations of $2.29.

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