Microsoft Reports Fall in Xbox Sales in Latest Quarter
Microsoft’s latest earnings report for the quarter ending on March 31 reveal that the company has shipped 1.6 million Xbox consoles to retailers. This figure includes both the Xbox 360 and Xbox One, and is a decline compared to the same period last year when it shipped 2 million units.
In another comparison, Microsoft moved 6.6 million Xbox consoles during the holiday season this year, compared to 7.4 million during the same quarter last year.
Revenue for the company’s Computer and Gaming Hardware division also took a hit this quarter, falling to $72 million mainly because of the lower revenue from the Xbox Platform. According to Microsoft, part of the decline was due to “unfavorable foreign currency impact of approximately 4%.”
As for the Xbox Platform itself, the revenue decreased by $306 million or 24 percent. Microsoft noted that the lower price of the Xbox One in the quarter compared to the same period a year prior further led to the decline.
Xbox Live, however, has managed to gain a further 30 percent growth, with its revenue increasing by $144 million when compared to last year. This was largely driven by an increase in Xbox Live users and revenue per user, said Microsoft.
Microsoft sold 10.7 million Xbox consoles during the first nine months of FY15, which is an increase compared with 10.6 million consoles during the same period in 2014.
Overall, Microsoft posted $21.7 billion in revenue, which is up from $20.4 billion during the same quarter last year. Profits though were down to $4.9 billion from $5.6 billion last year.