[Am-info] NewsSource, October 30 2000 / 6 of 8 / Q1 2001 EARNINGS

[Paul Rickard]

      *On October 19, Microsoft reported a quarterly profit of 46 cents a 
share for Q1 2001, six cents higher than the predictions of analysts who 
have consistently gotten it wrong by five cents a share for the last 3 
years. Using a new accounting method that the law requires Microsoft to 
soon move to, earnings were actually just 40 cents a share - but the 
expert predictions were made without regard to that future change. While 
Microsoft bragged about the supposedly strong sales of Windows 2000, a 
closer look at earnings shows a serious decline in income from the 
usually dependable Office segment. That caused the profit from regular 
operations (like selling software) to DROP by $12 million, while 
Microsoft's profit from investments doubled to $1.13 billion, mostly 
because of the Expedia spinoff. That's 44% of total income for the 
quarter - making Microsoft as much mutual fund as it is software company. 
Microsoft's operating expenses also rose by 14 percent, mostly because of 
mysterious charges associated with the Caldera trial settlement [see Jan. 
17 - [link removed] ]. -|

            ALSO SEE:
      http://www.theregister.co.uk/content/1/14092.html
      http://news.cnet.com/news/0-1003-200-3229597.html
      http://www.theregister.co.uk/content/1/14258.html



======== Paul Rickard, Editor of The Microsoft Boycott Campaign =======
--------------------------------[ Http://www.msboycott.com ]-----------

  "In Microsoft world, you are always one click away from harming 
   yourself." -Elias Levy, BUGTRAQ mailing list moderator.