Vinod, believe this? I do.
Microsoft could see smaller
operating margins in fiscal
1997
By Margaret Kane
Operating margins at Microsoft Corp. could go down during the
next fiscal year due to slower revenue growth combined with
increasing costs, company officials said in a quarterly report.
According to documents filed with the Securities and Exchange
Commission, the Redmond, Wash., software maker's revenues in
fiscal 1997 will likely not match revenues from 1996. The first half
of fiscal 1996, which ended June 30, saw a huge boost from sales
of Windows 95, which Microsoft doesn't anticipate it can repeat.
In fiscal 1996, Microsoft had an operating margin of 35.5 percent.
The company finished its fourth fiscal quarter with sales of $559
million, or 87 cents a share.
Microsoft officials could not be reached for comment.
Analysts said the company traditionally warns that operating
margins may not stay high, and that revenue growth may slow
down. Microsoft filed a similar statement in the same report filed
in 1995.
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Here's more..
* After the market closed, MICROSOFT CORP said its operating margins
in 1997 may decrease from those in 1996. Microsoft, which made the
disclosure in a 10K filing with the SEC, also said the revenue
growth rate in the first two quarters of 1997 may not approach the
levels attained in 1966, which it said was high due to upgrades in
its Windows 95 software. The company said operating expenses are
expected to increase in 1997. (Reuters 05:35 PM ET 09/27/96) For the
full text story, see
merc.com
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More "smoke blowing" from da boyz in Redmond, eh?
Know why? I do.
Joe <G> |
