Microsoft has announced its first quarter results for the 2023 fiscal year, from July 1st to September 30th, 2022. Revenue for the overall company increased by 11 percent year-over-year to $50.1 billion while operating income increased by six percent to $21.5 billion, and net income was $17.6 billion, a 14 percent decrease year-over-year.
Gaming revenue grew slightly by four percent, hitting $3.610 billion, while Xbox hardware revenue rose by 13 percent. Xbox content and services saw a three percent drop year-over-year due to “declines in first-party content and third-party content.” Lower engagement hours and higher monetization are also cited, though these were “partially offset” by the growth in Xbox Game Pass subscriptions.
Despite the issues plaguing the economy, CEO Satya Nadella said that “digital technology is the ultimate tailwind. And we’re innovating across the entire tech stack to help every organization, while also focusing intensely on our operational excellence and execution discipline.”
Gaming-wise, it hasn’t been the busiest year for the company. Next year should be an improvement with titles like Redfall, Starfield, and more releasing. There’s also the acquisition of Activision-Blizzard, which is approved by Brazil but faces issues with the Competition and Markets Authority in the UK. Stay tuned for further updates on the same in the coming months.