Microsoft Earning Report FY22 Q4 | Gaming Revenue Down 7% YoY

JohnnyFootball

GerAlt-Right. Ciriously.
They have had some good exclusives so far this gen. If you dont like them thats down to you. And most people already accepted that it was going to take time, a considerable amount of time, for all their new studios to start releasing games, thats why i said second half of the gen.
And it seems a lot of the masses realize that too judging from the sales, so why cant you?.
It's called history. MS has been incompetent when it comes to first party game development since Don Mattrick's days. Say what you want about him, but he had exclusives ready to go on Day 1 for the Xbox One. Phil Spencer on the otherhand, while accomplishing many things, starting with being a more likeable guy has absolutely failed to manage 1st party development. I teach high school. I don't take a kids word who tells me time and time again that they're going to do their work, but not do it. MS is in that same boat. They acquired Rare over 15 years ago and haven't done jack with that studio. Thats been the story with MS.

IF MS does indeed turn it around, then great, but I have my doubts.
 

Stuart360

Member
It's called history. MS has been incompetent when it comes to first party game development since Don Mattrick's days. Say what you want about him, but he had exclusives ready to go on Day 1 for the Xbox One. Phil Spencer on the otherhand, while accomplishing many things, starting with being a more likeable guy has absolutely failed to manage 1st party development. I teach high school. I don't take a kids word who tells me time and time again that they're going to do their work, but not do it. MS is in that same boat. They acquired Rare over 15 years ago and haven't done jack with that studio. Thats been the story with MS.

IF MS does indeed turn it around, then great, but I have my doubts.
Maybe you shoulf of got/upgraded your PC instead of buying an Xbox. Then you could not only play Xbox games, but also literally thousands of PC games. Maybe Microsoft and Phil wouldnt annoy you so much then.:messenger_ok:
 

JLB

Member
It's called history. MS has been incompetent when it comes to first party game development since Don Mattrick's days. Say what you want about him, but he had exclusives ready to go on Day 1 for the Xbox One. Phil Spencer on the otherhand, while accomplishing many things, starting with being a more likeable guy has absolutely failed to manage 1st party development. I teach high school. I don't take a kids word who tells me time and time again that they're going to do their work, but not do it. MS is in that same boat. They acquired Rare over 15 years ago and haven't done jack with that studio. Thats been the story with MS.

IF MS does indeed turn it around, then great, but I have my doubts.

St Patricks Day Drink GIF by Sea of Thieves
 

JohnnyFootball

GerAlt-Right. Ciriously.
Maybe you shoulf of got/upgraded your PC instead of buying an Xbox. Then you could not only play Xbox games, but also literally thousands of PC games. Maybe Microsoft and Phil wouldnt annoy you so much then.:messenger_ok:
Thank you for admitting that MS has been dogshit with their studio management. I appreciated the debate but you got your ass kicked like the predator his ass kicked by Dutch.

As you were saying about my PC…

 
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Xbox is going to really start growing once those big hitters finally start landing!
I don't think is going to be this "sudden, exponential growth" as some people are expecting.

2nd best quarter in Xbox history and this gen is just getting started.
Or PR bullshit statements.

UBI Soft makes a lot of sense for Xbox now to continue to grow that GP momentum.
Anything and everything under the sun makes sense....even Netflix
 
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Stuart360

Member
Thank you for admitting that MS has been dogshit with their studio management. I appreciated the debate but you got your ass kicked like the predator his ass kicked by Dutch.

As you were saying about my PC…
Actually i have really like the Xbox exclusives so far this gen. an hour ago i was just playing Flight Sim, a game that i have been playing for over a year (529 hours so far).
Its just i see your posts a lot and you seem to have a real beef with Microsoft and Phil, so PC may of been a better option than Xbox, best of both worlds if you like. It may of saved you some obvious stress.

Also i thought we were having a pleasant convo, what was this weird reply about lol.
 
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JohnnyFootball

GerAlt-Right. Ciriously.
Actually i have really like the Xbox exclusives so far this gen. an hour ago i was just playing Flight Sim, a game that i have been playing for over a year (529 hours so far).
Its just i see your posts a lot and you seem to have a real beed with Microsoft and Phil, so PC may of been a better option than Xbox, best of both worlds if you like. It may of saved you some obvious stress.

Also i thought we were having a pleasant convo, what was this weird reply about lol.
If it makes you feel better, I was attacked by Sony fanboys for saying that the Last of Us Remake was overpriced when there was a perfectly serviceable PS4 version that could be had for $10 or less. Trust me, I have given Sony a hard time as much as anyone. From $70 games to treating their PS3 games like shit. But..I know that they will always have an exclusive for me to get excited about. Starfield, I expect will be delayed until Nov of next year at least.
 

DaGwaphics

Member
They said they expected gaming revenue to be down single digits for this quarter and it is. They probably knew hardware sales would be down a bit and a huge 3rd party effort wasn't launching.
 

MrA

Member
Sony forecasted to ship more PS5'S in 2022 then last year so they will be up since they are selling every console they make instantly.
So far they are below 2021 down 44% in Europe for example, they are probably stock piling for a strong holiday season
 
I would expect most of the entire entertainment sector to start sliding as people react to recession predictions. Luxuries are the first to go when the economy gets spooked.
 

Jennings

Member
Only a 7% drop? I'm impressed. It goes to show how little new releases and exclusives actually matter at the end of the day when you're playing all your other cards right.

The new games will come eventually, and it's obvious they'll just be the gravy over a rock solid money-making machine already going full-tilt.
 
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Most of those divisions show double digit growth. Crazy. Well done for xbox for the whole fiscal year and a banger 2nd best quarter on record. The heavy hitters are coming too, wonder how that will go then. Wonder if supply lines can open up further than they have been in that timeframe...
 

StreetsofBeige

Gold Member
Great to see game pass's continued growth as well.


If this is the second biggest, but still had a decline then that means last years Q2 comparable quarter was the best ever. Pretty hard to beat covid years for companies who took advantage of at-home people.

If you really want to see companies who crash and burned pre to post covid, check out Peloton. A total trainwreck the second things opened up and people went back to gyms. Got so bad, they literally stopped making bikes because their inventory build up was so big from 2021.

As a company $16.7B net income. I think this was pretty similar to last quarter (close enough). So FY is around $65B+ profit per year. Insane.
 

StreetsofBeige

Gold Member
Yeah we dont know if MS gaming division is profitable or not. Most likely in the red since they hide the profits for gaming.
Apple doesn't tell anyone if their Macs, Phones, Tablets or Watch segments are profitable in isolation either. They lump them all into one giant number when stating profits.

So I guess Apple's Phone business is losing money since they hide it behind everything else.
 
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Stuart360

Member
Apple doesn't tell anyone if their Macs, Phones, Tablets or Watch segments are profitable in isolation either. They lump them all into one giant number when stating profits.

So I guess Apple's Phone business is losing money since they hide it behind everything else.
Unfortunately Microsft not giving out profit numbers gives trolls a free pass to say Xbox isnt profitable, and they know no one can actually prove them wrong.

All i'd say is that Xbox isnt something they have been doing for the last 2 oe 3 years, we are 21 years in. 21 years and Miccrosoft are investing more and more into their gaming divisoon, i think its pretty safe to say that Xbox is a profitable division to them. That or Microsft have some serious pride issues and dont want to give up, but thats not how business works lol.
Also we know Playstation is profitable for Sony, Nintendo we know is profitable, and in terms of revenue Xbox is right in between those 2 (i think right), so if gaming is profittable for Sony and Nintendo, why wouldnt it be for Microsoft?. What extra overheads do people think Xbox has over Nintendo and Sony?.
 
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StreetsofBeige

Gold Member
Unfortunately Microsft not giving out profit numbers gives trolls a free pass to say Xbox isnt profitable, and they know no one can actually prove them wrong.

All i'd say is that Xbox isnt something they have been doing for the last 2 oe 3 years, we are 21 years in. 21 years and Miccrosoft are investing more and more into their gaming divisoon, i think its pretty safe to say that Xbox is a profitable division to them. That or Microsft have some serious pride issues and dont want to give up, but thats not how business works lol.
Also we know Playstation is profitable for Sony, Nintendo we know is profitable, and in terms of revenue Xbox is right in between those 2 (i think right), so if gaming is profittable for Sony and Nintendo, why wouldnt it be for Microsoft?. What extra overheads do people think Xbox has over Nintendo and Sony?.
Considering how much profit MS makes (about $60-70B per year) and the fact MS has supported Xbox for 20 years no matter what, has spent a ton on studios and keeps making more consoles, Xbox isnt going anywhere. In fact they are even more aggressive.

Pretty sure head office can absorb whatever losses Xbox may even have among the $60+B profit they do. And if Xbox is truly unprofitable (nobody knows), that loss is already baked into the $60+B profit.

MS doesn't care one bit. It's like when Sony was losing billions 10 years ago and that TV division was most of the losses. Then PS3 was second worst. Made no difference. Son kept chugging along with more TVs and PS4.
 
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Chukhopops

Member
I'm sure some poeple on this forum actually believe that to be honest.
Common sense and GAF isnt always a fair mix.
There are people who believe that even in this thread, it’s just desperate at this point.

I miss Hezekiah, sure he was a troll but at least he was trying to provide numbers and arguments. What’s left of the downplay crew those days just isn’t the same.
 

StreetsofBeige

Gold Member
Is cloud also in the red since they hide profits from cloud? Don't bother, I know you won't dare to answer my question :messenger_winking: just keep concern trolling.
All privately owned companies must be losing money too. They can divulge their financials publicly if they want too. In fact, if a privately owned company is doing great, it's probably better they do spill the beans because it'll make the company worth even more to internal shareholders in the public eye.

But since hardly any (if any) disclose their financials, it must mean they are all losing money.
 
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StreetsofBeige

Gold Member
What’s left of the downplay crew those days just isn’t the same.
That's what overzealous fan warriors do. They go mental. Just about everyone likes to toss in a jab for fun, but there's also a time to knock it off and just talk Games, Communities or OT. Even something so basic like the Dream Car thread in OT.

Problem with warriors is all they do is battle. They got to be paid shills or some $16/hr paid interns working at their head office whose job is to scour game forums and be corporate plants defending the fort.

It's amazing when you check their post histories. It's like 90%+ console warrior posts within any thread relating to VS. and pixel counting or list wars. That's basically it. If someone posts a neutral thread, you'll never see them in it. It can be anything like music, movies, retro games, books, whats your view on MTX and Loot Boxes? etc..... good luck finding them posting in them.
 
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Ozriel

Member
The Blizzard Activision deal had people side eyeing that and still is and you think them buying the largest and biggest streaming company wouldn't trigger all sorts of questions from the FTC and others? 👀

You think Microsoft is going to make Netflix Windows exclusive? 😂😂😂
 

Chukhopops

Member
A great year for them, clearly. No updates on Game Pass subs?
They tend to update once a year those days, in January. Probably to flatten the quarterly variations.

Might slow down a bit this year unless they throw some big juicy third party game by the end of the year.
 

kraspkibble

Permabanned.
xbox is now my go to console. they really turned things around after the XB1 disaster. for the first time in my life i didn't run out and buy a PS console. well, i actually did have it preordered but cancelled it :messenger_beaming: i might pick one up when it gets a price drop, slim revision, and exclusives i care about.

gamepass and cloud is the best thing MS done. you don't even need to buy an xbox to play their games and you don't need to pay $70/game. it's really good value. MS is only going to make Xbox more successful.
 
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Alan Wake

Member
They tend to update once a year those days, in January. Probably to flatten the quarterly variations.

Might slow down a bit this year unless they throw some big juicy third party game by the end of the year.

My feeling is that Game Pass is growing but maybe a bit slower than expected/hoped.
 

drganon

Member
Something tells me they might be interested in Sega, which would make sense, imo. The two companies have had a good relationship since the first Xbox days. Plus, MS, by acquiring them, would get a big japanese RPG in Persona, the Yakuza series, and a ton of classic Sega IPs to revive in the future.
The only issue would be recruiting talents in Japan, but you never know, really...
How about, no. Seriously, what is it with xbox fanboys wanting Microsoft to monopolize the gaming industry.
 

Snake29

RSI Employee of the Year
I'll believe it when I see it. I admire you for having this much faith in MS.

I really laugh at these “wait for next year nonsense”, as if Sony is sitting still and doing nothing.

They would still be happy for MS every coming year if games would delay, rebooted or canceld and then still get absolutely nothing for the whole coming gen to play, other then some indies on GP.
 
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Chukhopops

Member
My feeling is that Game Pass is growing but maybe a bit slower than expected/hoped.
It wouldn’t surprise me this year, there’s actual competition on the sub segment and no big hitter coming for the holidays. If it still grows despite that it’s from Cloud or maybe the Riot deal.
I really laugh at these “wait for next year nonsense”, as if Sony is sitting still and doing nothing.

They would still be happy for MS every coming year if games would delay, rebooted or canceld and then still get absolutely nothing for the whole coming gen to play, other then some indies on GP.
What is even the point of posting hyperbolic bullshit like that, I don’t know. You’re not making any argument.
 
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Ozriel

Member
I really laugh at these “wait for next year nonsense”, as if Sony is sitting still and doing nothing.

They would still be happy for MS every coming year if games would delay, rebooted or canceld and then still get absolutely nothing for the whole coming gen to play, other then some indies on GP.

What does Sony have to do with Microsoft making and selling software ?

Are you sure you can’t take a couple of odd jobs to raise $299 for a Series S? Isn’t that better than this inane warring ?
 

Snake29

RSI Employee of the Year
It wouldn’t surprise me this year, there’s actual competition on the sub segment and no big hitter coming for the holidays. If it still grows despite that it’s from Cloud or maybe the Riot deal.

What is even the point of posting hyperbolic bullshit like that, I don’t know. You’re not making any argument.

What I mean is that xbox fanboys clearly don't care whether they release games or not. They will always find a reason to justify it to Microsoft, even if they don't release anything at all in this generation.

All they care about is that MS has to keep buying studios, but releasing games...

What does Sony have to do with Microsoft making and selling software ?

Are you sure you can’t take a couple of odd jobs to raise $299 for a Series S? Isn’t that better than this inane warring ?

Why, do you get paid by MS if you bring people to the Series S or something?
 
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reksveks

Member
What I mean is that xbox fanboys clearly don't care whether they release games or not. They will always find a reason to justify it to Microsoft, even if they don't release anything at all in this generation.

All they care about is that MS has to keep buying studios, but releasing games...
The problem with 'fanboys' (including in politics) on all sides is that they don't care about winning or getting something, they just care about beating/hurting the other team.

Acquisition are just one such examples.
 
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