Microsoft has filed record results, but warned growth is expected to be slower in maturing businesses in fiscal 1998, which begins in July.
The software vendor posted a 27 per cent rise in net profit to $741 million for the second quarter, ended 31 December, compared with $575 million for the same period a year ago. Turnover rose 22 per cent, from $2.2 billion to $2.68 billion.
CFO Mike Brown was cautious. ?We are pleased with the results and growth prospects for the next two quarters. However, I do anticipate slower earnings growth in fiscal 1998.?
He pointed to ?lower revenue increases in maturing businesses? and margin pressure from ?aggressive spending on research and development?.
To protect itself from any loss in performance, Microsoft has deferred $1.01 billion in turnover ? goods that have been sold but not yet credited to its turnover column ? because it expects to incur costs in the future.
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