For Amazon and Microsoft, the cloud keeps giving
Someday, the consistent growth in sales for Amazon Web Services (AWS) and Microsoft Azure will have to stop, writes Enterprise Cloud News (Banking Technology‘s sister publication).
“Someday” isn’t today. AWS reported third-quarter sales of $4.6 billion, representing revenue growth of roughly 42% year-over-year, same as the previous quarter. Microsoft reported that its Azure business grew 90% year-over-year during the company’s first fiscal quarter, which ended 30 September – again matching the growth trend of recent quarters.
Microsoft doesn’t specify Azure’s revenues, but the company did say the Intelligent Cloud division, which includes Azure, reported sales of $6.9 billion, up 14% year-over-year.
Ever since Amazon started breaking out AWS revenues, it’s been clear that the cloud is carrying the company’s profitability. That was evident this past quarter as well. Amazon’s total operating income was $347 million, while AWS’s operating income came in at $1.17 billion.
Overall, Amazon reported revenues of $24.7 billion, compared with $21.1 billion in the same quarter last year. The company’s net income was $197 million, or $0.40 per diluted share, compared with $857 million, or $1.78 per share, a year ago.
Microsoft reported first-quarter revenues of $24.5 billion, versus $21.9 billion a year ago. Net income was $6.6 billion, or $0.84 per share, compared with $5.7 billion, or $0.72 per share, a year ago.
Click here to read more on the latest financial results of Amazon, Microsoft and Google.