Xbox Losses Continue To Shrink News

Microsoft Corporation has today announced itâ??s financial results for the fourth quarter and end of fiscal year 2005, which include the results of the companyâ??s Home and Entertainment division. Revenue for Q4 across the corporation as a whole rose by 9% on the year to $10.16 billion (£5.8 billion) with Operating Income dropping from $3.13 billion (£ 1.79 billion) in Q4â??04 to $2.99 billion (£ 1.71 billion). Microsoft confirmed that $756 million included in the OI related to â??â?¦legal charges for antitrust-related claims.â? Net income for the fourth quarter rose from $2.69 billion (£1.54 billion) to $3.70 billion (£2.11 billion).

Revenue for the fiscal year 2005, which ended on June 30th 2005 stood at $39.79 billion (£22.71 billion), up by 8% on FY2004â??s Revenue of $36.84 billion (£21.02 billion). Net income rose to $12.25 billion (£7.01 billion) from FY2004â??s recorded income of $8.17 billion (£4.67 billion).

Microsoft also provided a breakdown of figures for its Home and Entertainment division, which includes Xbox. The division experienced a 22% increase of revenue, and although it experienced losses for both Q4 and the end of fiscal year of $179 million (£102.3 million) and $391 million (£223.5 million) respectively, the losses were much lower compared to the same periods in 2004 when the Q4â??04 loss stood at $340 million (£194.3 million) and $1.22 billion (£697.3 million) respectively.

Weâ??ll have more news on Microsoft shortlyâ?¦