The Microsoft earnings report for the third quarter of the 2022 fiscal year has been released, and shows a huge deal of growth for the company despite the two enormous acquisitions that it’s done over the course of 2021 and this past month, where it acquired Zenimax Online Media and Activision.
Overall, the company posted $51.7 billion in revenue, a 20 percent increase year-over-year. Similarly, its operating income was $22.2 billion, a 24 percent increase year over year. This is even in spite of how supply issues have contributed to the Xbox Series X and Playstation 5 not being sold at an optimum rate.
However, continued demand for the Xbox Series X and Xbox Series S also contributed to a four percent growth year-over-year in the company’s hardware revenue. Gaming revenue has also increased by eight percent year over year, and perhaps the best part is that Xbox content and services revenue has increased by 10 percent year-over-year.
The content and services revenue can likely be attributed to the continuing success of Xbox Game Pass, where users can pay a low monthly fee in order to get unlimited access to a wide variety of games, not just from the Xbox One, but also the Xbox 360 and original Xbox.
The Microsoft earnings report isn’t all good, however; the revenue from Game Pass subscriptions and Xbox content and services was offset by a decline from third-party titles, but it doesn’t seem like that was very much of an issue to Microsoft overall.
Considering that Microsoft has purchased both Zenimax Online Media (which includes Bethesda) and Activision, it’s likely that their revenue will skyrocket even higher in the coming years as games from both of those publishers will come out on the Xbox as well.
Until then, Microsoft seems poised to have pretty good fiscal years and quarters for the foreseeable future, accoridng to all of the good news in the Microsoft earnings report.