Microsoft Earnings Call - FY23Q3 | 4% decline for MS Gaming, Xbox HW down 30%

[Bryank75]

Thanks to everyone contributing here, what an incredible day for our site....

This thread alone has 100 posts in just 2 hours and 30 minutes.

On the 28th we will have Sony quarterly results.

 

[Rivet]

Supply constrained my ass. Both Series S and Series X are available everywhere, just checked on Amazon US and in European countries too.

Xbox hardware sales are abysmal, a 30 % drop at the start of a generation generally means the console is already half dead.

 

[Puff]

 

[Rivet]

Yes, that's definitely the trick in those numbers. They look okay because 35 % of their users are actually playing on PlayStation.

But unless they want to become a 3rd party publisher, that's hardly healthy for GP and Xbox brand...

 

[Red2Radio]

I genuinely do not understand any of this. I'm just seeing that gaming revenue and hardware revenue have declined, while content and services grew. Why am I reading everywhere that this is apparently "not as bad as many thought"? What am I missing from these numbers?

 

[Bryank75]

Well, there you go... so Microsoft gave the regulators lower numbers to make Microsofts gaming look smaller.

They framed it around consoles, which Microsoft themselves dont care about and push MAU figures during normal reporting.

 

[riesgoyfortuna]

I genuinely do not understand any of this. I'm just seeing that gaming revenue and hardware revenue have declined, while content and services grew. Why am I reading everywhere that this is apparently "not as bad as many thought"? What am I missing from these numbers?

Damage control

 

[Gods&Monsters]

I genuinely do not understand any of this. I'm just seeing that gaming revenue and hardware revenue have declined, while content and services grew. Why am I reading everywhere that this is apparently "not as bad as many thought"? What am I missing from these numbers?

It will never be bad again because they keep adding revenue from Bethesda, Minecraft, Playstation, Nintendo, mobile and PC under "Xbox".

The console business is in total decline but the shills won't report on that. They'll spin the numbers.

 

[Deleted member 417]

The base series x is out of stock. The worthless bundle… isn’t, because it’s not worth it.

And yet, when the ps5 was supply constrained, all the bundles were flying off of the shelves and people were paying scalpers nearly double the price to get a ps5.

The xbox is 'supply constrained' and nobody touched the bundles and the scalpers haven't scooped any up. That says everything.

If the console is in high demand and unavailable, people will buy any bundle and pay and price to get it...unless it isn't in high demand.

 

[riesgoyfortuna]

Find me a non bundled series x in USA.

He is talking about europe

 

[riesgoyfortuna]

Series S sucks.

Less than your sorry ass damage control atempt

 

[FIREK2029]

These numbers are terrible, wow.

How is anyone still damage controlling these abysmal numbers.

Hardware down 30% is beyond awful

 

[Red2Radio]

It will never be bad again because they keep adding revenue from Bethesda, Minecraft, Playstation, Nintendo, mobile and PC under "Xbox".

The console business is in total decline but the shills won't report on that. They'll spin the numbers.

Thanks for clarifying. It's crazy that all these added MAUs come from acquisitions, none of them MSFT actually created themselves - and going by that PiersHR tweet, a good chunk of "their" active users are everywhere but on Xbox.

 

[Zzero]

I'd like to point out that this is after Zenimax being bought, a purchase of 7.5 billion and they don't seem to have any significant growth.

If anyone but Microsoft ran a business like this, they'd be bankrupt within a year.

Starfield isn't out, did you think that Hi-Fi Rush alone was going to turn the tide? Why would you post that when you know that Bethesda's two biggest studios (BSW and id) haven't put their titles out. Oh shit, Firesprite hasn't done anything for Sony yet, guess the purchase was a flop.


That all said though, numbers suck. They're going to need to prove Gamepass a success or the whole division is lost.

 

[Zzero]

Yes, that's definitely the trick in those numbers. They look okay because 35 % of their users are actually playing on PlayStation.

But unless they want to become a 3rd party publisher, that's hardly healthy for GP and Xbox brand...

You're misreading the tweet (because it was deliberately framed to put Playstation in a good light.) It only compares Xbox and Playstation numbers, leaving off PC, phone and Switch. Which, since Minecraft came from PC and Switch has a huge userbase, is surely a pair of huge markets.

 

[ethomaz]

BTW;

Sony Group Corporation is expected* to report earnings on 04/28/2023 before market open. The report will be for the fiscal Quarter ending Mar 2023.

It is for the the full fiscal 2022 too.

 

[Deleted member 417]

Microsoft crowing about big MAU by using players from more popular consoles is both hilariously pathetic and a new low for those scumbags.

If you want a laugh, head to Gaf and point out that the $1 billion Sub services made was revenue, not profit. It is like kicking a hornets nest and a great laugh watching the arguments.

 

[ethomaz]

Thanks for clarifying. It's crazy that all these added MAUs come from acquisitions, none of them MSFT actually created themselves - and going by that PiersHR tweet, a good chunk of "their" active users are everywhere but on Xbox.

Minecraft is probably the biggest chunk of MAUs and include all platforms with Xbox being well the smaller one.

 

[Bryank75]

Starfield isn't out, did you think that Hi-Fi Rush alone was going to turn the tide? Why would you post that when you know that Bethesda's two biggest studios (BSW and id) haven't put their titles out. Oh shit, Firesprite hasn't done anything for Sony yet, guess the purchase was a flop.


That all said though, numbers suck. They're going to need to prove Gamepass a success or the whole division is lost.

I'm talking about growth from legacy games being sold, Elder Scrolls online, games on other subscription services etc etc....

not strictly sub numbers but revenue etc.

But it is true that they have not had their big releases yet.

 

[Eternal_Wings]

That herbs ghostz does smoke, I want also to have some. Honestly what goalpost is he trying to push?
Xbox Series X is since 2021 available at many Online stores and with early 2022 to buy on spot. Every Retailer be it UK, Germany, Sweden and USA having tons of these Xbox Series X|S console stored in pallets. Wake up from your delusions kid.