16.4 C
New York

Microsoft lowers Q4 guidance


Microsoft on Thursday lowered its fiscal fourth-quarter guidance, citing unfavorable foreign exchange rate movement.

In an investor slide deck, Microsoft said it expects to report between $51.94 billion and $52.74 billion in revenue for the quarter. The corporate previously forecast fourth-quarter revenue within the range of $52.4 billion to $53.2 billion.

Microsoft also barely cut its earnings forecast for the quarter, saying it now expects to report adjusted earnings per share within the range of $2.24 to $2.32. Previously, the corporate projected adjusted EPS between $2.28 and $2.35.

Satya Nadella, chief executive officer of Microsoft Corp., appears at a panel session on the World Economic Forum in Davos, Switzerland, on May 24, 2022.

Hollie Adams | Bloomberg | Getty Images

Wall Street is expecting Q4 revenue of $52.87 billion and an EPS of $2.33, in line with the consensus amongst analysts polled by Refinitiv.

Microsoft finance chief Amy Hood had suggested in April that exchange rates could impact guidance.

“We expect other income and expense to be negative $50 million reflecting FX remeasurement impact based on market conditions in April,” Hood said. “Much like the remaining of our guidance, further equity and FX movements thru Q4 aren’t reflected on this number.”

Shares of Microsoft closed up 0.7% on Thursday.

Get the latest Sports Updates (Soccer, NBA, NFL, Hockey, Racing, etc.) and Breaking News From the United States, United Kingdom, and all around the world.

Related articles


Recent articles