Microsoft Ships 1.7m X360s in the June 11' Quarter, X360 tops 55m - News
by VGChartz Staff , posted on 21 July 2011 / 6,504 Views
Microsoft's June 2011 quarter results have arrived. Since Microsoft's fiscal year runs July to June each year, full year data has arrived as well.
For the quarter, Microsoft revenue reached a record $17.37b with profit of $5.87b. Those figures compare to $16.04b in revenue and $4.52b in profit during the June 2010 quarter. For the June 2011 year, Microsoft revenue reached $69.94b while profit reached $23.15b. Those figures compare to $62.48b in revenue and $18.76b in profit in the June 2010 year.
In the Entertainment and Devices Division (EDD) which contains the X360, among other devices such as Zune, Microsoft revenues reached $1.485b for the June 2011 quarter with profits coming to $32m. For the full year to June 2011, revenue reached $8.913b with profit at $1.324b.
EDD profit in the June 2011 quarter grew by $204m compared to the June 2010 quarter, while revenue grew by $402m from the June 2010 quarter.
Microsoft noted the following for the three months ended June 30, 2011 compared with three months ended June 30, 2010:
"EDD revenue increased primarily reflecting higher Xbox 360 platform revenue. Xbox 360 platform revenue grew $293 million or 29%, led by higher Xbox LIVE revenue and increased volumes of Xbox 360 consoles sold. We shipped 1.7 million Xbox 360 consoles during the fourth quarter of fiscal year 2011, compared with 1.5 million Xbox 360 consoles during the fourth quarter of fiscal year 2010.
EDD operating income increased primarily reflecting revenue growth, offset in part by higher cost of revenue. Cost of revenue increased $118 million or 15% primarily reflecting higher volumes of Xbox 360 consoles, and increased royalty costs resulting from increased sales of Xbox LIVE digital content."
In the year to June 2011, profit grew by $706m while revenue grew by $2.745b.
Microsoft noted the following for the twelve months ended June 30, 2011 compared with twelve months ended June 30, 2010:
"EDD revenue increased primarily reflecting higher Xbox 360 platform revenue. Xbox 360 platform revenue grew $2.7 billion or 48%, led by increased volumes of Xbox 360 consoles, sales of Kinect sensors, and higher Xbox LIVE revenue. We shipped 13.7 million Xbox 360 consoles during fiscal year 2011, compared with 10.3 million Xbox 360 consoles during fiscal year 2010.
EDD operating income increased primarily reflecting revenue growth, offset in part by higher cost of revenue. Cost of revenue increased $1.8 billion or 49% primarily reflecting higher volumes of Xbox 360 consoles and Kinect sensors sold, and increased royalty costs resulting from increased sales of Xbox LIVE digital content. Research and development expenses increased $119 million or 12%, primarily reflecting higher headcount-related costs. Sales and marketing expenses grew $90 million or 12% primarily reflecting increased Xbox 360 platform marketing activities."
As can be seen above, during the June 2011 quarter, Microsoft shipped 1.7m X360s, up slightly from the 1.5m X360s shipped in the June 2010 quarter. For the June 2011 year, Microsoft says it shipped 13.7m X360s, although Microsoft's reported figures were 1.7m (today), 2.7m, 6.3m, and 2.8m for each of the past four quarters and those four numbers total 13.5m. The discrpency could of course be solved if the figures were really 1.72m, 2.73m, 6.34m, and 2.91m, or something similar as Microsoft rounds to the nearest hundred-thousand rather than nearest ten-thousand in its shipment reporting. With X360 shipment figures at 53.6m through March 2011, Microsoft has shipped 55.3m X360s through June 2011. In any case, the past fiscal year was the strongest ever for the Xbox brand, with figures up from 10.3m in the June 2010 fiscal year and the previous 12-month peak of 11.2m. For comparison, the all tme best 12-month period for DS was 31.4m, 25.9m for Wii, 22.5m for PS2, 20.5m for PS1, 18m for GBA, 16m for PSP, 14.6m for PS3 (Oct 2009-Sept 2010 currently stands as the 12-month PS3 peak), 13.7m for X360 (July 2010 - June 2011) and something like 13m for NES and GB.
Microsoft had shipped 10.4m Kinects (units bundled and sold seperately) through March 2011. The company notably did not provide an update on Kinect in the June 2011 quarter, which suggests a slow down.
Contact VGChartz at jmazel@vgchartz.com
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So does VGC have it overtracked, unertracked or just right?
55 million units is hardly a failure and I know that microsoft is happy about that.
I hope and price cut would be enough for 360 to beat its 12-mo peak this year, but it will be a close one.
No exact number for NES peak ? In France it was 697,000 in 1991. Master System peak was 375,000 in 1991. When we take into account penetration (% HH) NES's penetration in France was 1/3 of US one and 1/5 of Japan one.
Seems like Q2 sales for 2011 and 2010 are about the same. Interesting since the 360 Slim released in June of last year. I wonder if the 360 can keep up with 2010 shipments in Q3 and Q4. Regardless, 2011 sales will be very similar to 2010's.
Revenue & Profit are tied to no price cuts - its not like they are separate. I'm frankly not sure if X360 will be up from 13.7m over any 12-month period going forward. Even with a price cut its going to be tough to match late 2010 figures given how strongly Kinect launched, if Kinect has slowed down like we have on the site.
55 million shipped in june, that makes 54.8 million sold in juli nearly impossible ...
You don't know the math that says just PS3 can have 2M sitting on shelves, and PS2 can still have 20M.
Great job Microsoft, now where is XBOX 720? We will see a price cut next month from SONY and Microsoft will probably follow few weeks after or do it at the same time, only question is how much of a price cut we will see?
Seems VGC has it considerably overtracked then? Either way, for a second place console it is doing very well and it is good to see the overall video games market increase with each generation of consoles/pc's
It actually looks like it has been undertracked.
No. Seems like VGC is just right... 700k on shelves is ok for 360.
Actually it won't be if SONY cuts the price of PS3 to $199, then Microsoft's profit will go down, I am assuming Microsoft will cut the price of XBOX as a response to SONY but they will not be able to cut it by $100 on base model because it would eliminate most of the profits for them.
Sony's cutting the PS3 price to $199 would eliminate ALL their profits from the PS3 and cause them to start taking another ~$50 loss per console... If anyone has a chance to cut $100 off their console and remain profitable, it's MS, not Sony.
