Yahoo Finance tech editor Dan Howley breaks down Microsoft's latest earnings report.
DAVE BRIGGS: Let's shift now to the big report of the day we've been waiting on. It is in. Microsoft just out with their latest earnings report. And you can see shares up more than 4 and 1/2% after-hours. Yahoo Finance tech editor Dan Howley has the numbers for us. Dan, what stands out to you?
DAN HOWLEY: That's right, Microsoft missed slightly on the top line, but beat on earnings per share. Revenue came in at 52.7 billion. Expectations were for 52.9 billion. So you see that little miss there. But adjusted EPS came in at $2.32 a share. That's versus expectations of $2.30 per share. Let me just run through the businesses that they have. The productivity and business processes came in at 17 billion, and that's better than expected of 16.8 billion. Intelligent Cloud, that came in at 21.5 billion. That's versus the $21.4 billion that was expected, so a beat there.
And then more personal computing, that obviously has taken a beating, 14.2 billion versus the 14.7 billion that was expected. CEO Satya Nadella said the next major wave of computing is born as Microsoft Cloud turns the world's most advanced AI models into new computing platforms. That clearly a reference to their multiyear, multibillion dollar investment in OpenAI, which is meant to help them better tackle competitors like Amazon and Google, not to mention enterprise services like Salesforce.
DAVE BRIGGS: Yeah, ChatGPT could turn out to be one of the stories of the year as far as the economy goes. And we can see shares of Microsoft up, still up 5% on this latest earnings report. Dan Howley, thank you so much.