July 30, 2026 19:00
Microsoft CEO expects to bring Xbox back to growth in the 2027 financial year Microsoft CEO Satya Nadella expe
Microsoft CEO expects to bring Xbox back to growth in the 2027 financial year
Microsoft CEO Satya Nadella expects the company's video game business to return to growth during the 2027 fiscal year, but the latest quarterly report shows that Xbox's new management faces a challenging task.
The entire Microsoft ended last fiscal year with record numbers, with the company's total revenue rising 18 percent to more than $331 billion, and operating profit increasing 21 percent to more than $155 billion.
The Xbox team directly demonstrated the opposite dynamic. Microsoft's chief financial officer Amy Hood told investors that the revenue of the gaming division decreased by 10%. Xbox content and service revenues also decreased by 10% compared to the previous year.
Microsoft doesn't expect the situation to improve quickly. In the next quarter, the company expects revenue from Xbox content and services to decline by a few percent.
Despite the negative dynamics, Nadella is confident that the restructuring launched by Ashia Sharma will help Xbox return to growth.
Responding to investors' questions, Nadella specified that the first positive shifts in the Xbox business are expected by the end of fiscal 2027 (it began on July 1, 2026 and will end on June 30, 2027).
@gm_galactic #Xbox #game
Microsoft CEO Satya Nadella expects the company's video game business to return to growth during the 2027 fiscal year, but the latest quarterly report shows that Xbox's new management faces a challenging task.
The entire Microsoft ended last fiscal year with record numbers, with the company's total revenue rising 18 percent to more than $331 billion, and operating profit increasing 21 percent to more than $155 billion.
The Xbox team directly demonstrated the opposite dynamic. Microsoft's chief financial officer Amy Hood told investors that the revenue of the gaming division decreased by 10%. Xbox content and service revenues also decreased by 10% compared to the previous year.
Microsoft doesn't expect the situation to improve quickly. In the next quarter, the company expects revenue from Xbox content and services to decline by a few percent.
Despite the negative dynamics, Nadella is confident that the restructuring launched by Ashia Sharma will help Xbox return to growth.
Responding to investors' questions, Nadella specified that the first positive shifts in the Xbox business are expected by the end of fiscal 2027 (it began on July 1, 2026 and will end on June 30, 2027).
@gm_galactic #Xbox #game