Microsoft Corporation (NASDAQ: MSFT) has released its results from its second quarter yesterday January 31st, 2018. The tech giant has reported a 12% increase in Revenue up from $25.8 Billion to $28.9 billion, a 10% increase in Operating Income up from $7.9 billion to $8.6 billion.
As seen in the chart below found in Microsoft’s press release, Microsoft has reported gains in revenue, yet has reported a net loss of $6.3 billion. This was due to the new Tax reform bill recently passed.
Microsoft has their new focus on providing Cloud services over the Internet as opposed to software sales to thank for the gains seen in the second quarter earnings report. Microsoft has been shifting from traditional software sales and moved to providing Cloud based services and the gamble has paid off, now being considered the No. 2 cloud provider behind Amazon.com, Inc. (NASDAQ: AMZN).