Microsoft Corporation's Income Statement

1120 WordsOct 21, 20155 Pages
Exhibit 1 provides the Microsoft Corporation’s income statement from 2013 to 2015. The Software & Programming industry saw Revenue decrease just by -4.84%, Microsoft announced -5.14% year on year sales decline in the forth quarter, to $ 22.18 billions, and underperformed the 1.54% Revenue growth in the Technology sector. Above average sales gains in Technology and Software & Programming industry, helped to elevate overall market growth to -6.77%. Comparing company’s Revenue to the third quarter results, sales were higher by 2.08%. On the yearly basis, average annual sales growth for Microsoft is 8.41%, while S & P 500 's including only Businesses with the forth quarter 2015 earnings, average annual sales growth is 3.94% over the past five years. Indeed, the Microsoft Corporation is profitable and leads not only the rivals, but also S&P 500. In fiscal year 2015, the current ratio was 2.50 compared to their leading competitor Oracle with a 4.13. On the other hand, the quick ratio for both companies saw a decrease with Microsoft at 2.50 and at Oracle 3.92. This goes to show the larger the liquidity ratios are, the better the company’s position to meet its immediate financial obligations. One can see continual improvement efficiency. Specially, with Microsoft using its cash to launch new operation system “Windows 10,”and the laptop, “Surface Book” that was released to the public during fall of 2015. In terms of the profitability ratios, the profit margin In addition,
Open Document