After the US stock market closed yesterday, Microsoft (MSFT) announced its first quarter results for 2022. According to data, Microsoft achieved revenue of $45.32 billion, a year-on-year increase of 22%, surpassing $40 billion for four consecutive quarters; Net profit was $20.5 billion, a year-on-year increase of 48%, and adjusted earnings per share were $2.27.

From a business perspective, Microsoft's cloud business has grown rapidly, with revenue reaching $20.7 billion, a year-on-year increase of 36%. Among them, the intelligent cloud business achieved revenue of 16.96 billion US dollars, exceeding analysts' expectations of 16.51 billion US dollars, a year-on-year increase of 31%.

Looking back at the data from the past three years, Microsoft's Intelligent Cloud has always been the fastest-growing segment, with a year-on-year growth rate of 31% in this quarter, also setting the highest growth rate in nearly three years.

Some analysts have stated that there will be large-scale cloud infrastructure expenditures in 2020, but most enterprises have not yet gone to the cloud. By 2021, customer confidence will strengthen, so the phenomenon of enterprises migrating to the cloud will continue.

Windows 11 officially launched, launching a new Surface computer

Microsoft has launched its Windows 11 operating system earlier, the first new system in six years and the longest time since its release in history. Some analysts believe that Windows 11 can ensure the profitability of Microsoft's other businesses, such as Azure and Office.

In addition, Microsoft also launched a new Surface computer this season and announced plans to increase subscription prices for commercial Office 365, which may bring more stable benefits to Microsoft. However, some analysts believe that the shortage of chips continues, which may affect Microsoft's computer sales.

In terms of network security, Microsoft has hired Charlie Bell, a senior executive of Amazon's (AMZN) cloud business, to lead the network security project and will invest more funds in security research and development.

Due to Microsoft's (MSFT) better than analyst expectations, its stock price rose 2% after hours. The company's stock price has risen by 39% this year, while the S&P 500 index has risen by 22%.

In terms of prospects, Microsoft expects its second quarter revenue to be between $50.15 billion and $51.05 billion, higher than the consensus estimate of $48.92 billion surveyed by Reinitiv.

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