Xbox Division Doubles Profit

[Hunting Wabbits]

Originally Posted by Averry

Sorry, I jumbled up Accounting terms.


Operating Income doubled, Revenue was flat, aka, profits.


That means their spending overtook last years spending.

I think you're still a bit jumbled. Try some coffee and come back..

They had to reduce operating expenses to increase operating income at the same revenue. And we are missing a few numbers we need to get to actual profit.

[mstrbass2000]

Originally Posted by Indy_aka_Rex

No shit Sherlock, they own more than 80% of the OS market, not to mention they own a high percentage of the smartphone market thanks to WinMo and MSOffice is the most used Office suite software in the world... of course they're gonna be making money in a bad economy - they have virtually no competition.

hey dude calm the fvck down,i know you hate microsoft with a passion and all because they have managed to dominate due to positioning

sorry your precious sony hasn't kept up with the times and is currently getting its head handed to them by the competition

like i said microsoft will top 35 bucks a share if anyone wants to actually own a winning stock with upside

[chaz_uk]

Originally Posted by mstrbass2000

hey dude calm the fvck down,i know you hate microsoft with a passion and all because they have managed to dominate due to positioning

sorry your precious sony hasn't kept up with the times and is currently getting its head handed to them by the competition

like i said microsoft will top 35 bucks a share if anyone wants to actually own a winning stock with upside

You should have stopped reading here "not to mention they own a high percentage of the smartphone market thanks to WinMo".

That is so wrong.

[murphjp]

Originally Posted by Averry

OH NO!


God forbid that Microsoft has to release high profile titles to keep sales up..

Afterall, isn't that the point, to release high profile titles to keep sales up...

Especially considering that both consoles genuinely release high profile titles here and there all year long every year.

You kind of have to release high profiles to meet last year's high profiles.

Your logic is dumb.

My point was last year they didn't have a halo. When there halo(FPS) games get released there revenue should go up. Yet it stayed flat, hence not the best news in the world for MS.

[RedRedSuit]

Last year they had Gears 2.

[Dennis M.]

Originally Posted by RedRedSuit

Last year they had Gears 2.

In Q4, not in September.

[CorruptedDragon]

Originally Posted by Dennis M.

In Q4, not in September.

They also had the $100 price cut and $50 rebate this year. That affected the profits as well, which would account for why it wasnt alot higher. It was still pretty good though, however you want to look at it.

[Coren]

Originally Posted by Slayer

Keep sticking to your guns about the division, its all you have to cling to.

No worse than you clinging desperately to the PS3 itself losing money, after you originally said their division was losing money then changing your argument after your initial statement being shown to be wrong.

Who cares? Both companies have gaming divisions that are posting profits now. Both companies have a huge hole to dig out of before they counter losses from recent years. Both companies have good momentum now so that even if they don't recoup losses this generation, they should be in good enough shape to go into next generation, hopefully learning from their mistakes this gen.

[murphjp]

Originally Posted by CorruptedDragon

They also had the $100 price cut and $50 rebate this year. That affected the profits as well, which would account for why it wasnt alot higher. It was still pretty good though, however you want to look at it.

Well normally when a company has a price drop they are hoping for an increase in revenue. If your revenue decreased its would mean the price of the 360 was not a the main factor in the sales of the system. (in the long run due to licensing price cut may be more beneficial but short term it was more detrimental)

Now if you said MS's revenue's were higher in Q3 last year due to the price drop I may buy that.

Oh and I'm talking about revenue not profits, as well the MS game division its impossible to tell how well the 360 is doing because of to much fluff added into that division. The licenses of MS products on mac's for example should not be included there but they are. Revenues probably also should have gone up because of the Zune HD's release as well.

[Slayer]

Originally Posted by Coren

No worse than you clinging desperately to the PS3 itself losing money, after you originally said their division was losing money then changing your argument after your initial statement being shown to be wrong.

Who cares? Both companies have gaming divisions that are posting profits now. Both companies have a huge hole to dig out of before they counter losses from recent years. Both companies have good momentum now so that even if they don't recoup losses this generation, they should be in good enough shape to go into next generation, hopefully learning from their mistakes this gen.

Shareholders. You know those pesky investors that want you to bring products to market that generate profits, not lose billions of dollars.

[Slayer]

Originally Posted by murphjp

Well normally when a company has a price drop they are hoping for an increase in revenue. If your revenue decreased its would mean the price of the 360 was not a the main factor in the sales of the system. (in the long run due to licensing price cut may be more beneficial but short term it was more detrimental)

Now if you said MS's revenue's were higher in Q3 last year due to the price drop I may buy that.

Oh and I'm talking about revenue not profits, as well the MS game division its impossible to tell how well the 360 is doing because of to much fluff added into that division. The licenses of MS products on mac's for example should not be included there but they are. Revenues probably also should have gone up because of the Zune HD's release as well.

Actually after a price drop its normal to expect a decrease in revenue if the drop is large enough that you dont expect the increase in sales to cover the lost revenue. This is why any business is hesitant to drop price. If all you have is a temporary sales surge, all your left holding is fewer dollars for what you sell.

[Coren]

Originally Posted by Slayer

Shareholders. You know those pesky investors that want you to bring products to market that generate profits, not lose billions of dollars.

Red herring, and irrelevent to what I was saying.

Both divisions in both companies are in the same boat, with several years of losses, now making profits to chip away at those losses. Both likely have products in their respective divisions not making money, with others making money for them.

Nice try though.

[Indy_aka_Rex]

Originally Posted by CorruptedDragon

They also had the $100 price cut and $50 rebate this year. That affected the profits as well, which would account for why it wasnt alot higher. It was still pretty good though, however you want to look at it.

$100 price cut is rather irrelevant as it wasn't really a "price cut", there was a 300 dollar 360 before the Elite. 50 dollar rebate I'll give you though.

[Averry]

Originally Posted by Indy_aka_Rex

$100 price cut is rather irrelevant as it wasn't really a "price cut", there was a 300 dollar 360 before the Elite. 50 dollar rebate I'll give you though.

Always makes you wonder if they sold any elites at $400.


Either way, less dough for selling Elite at $300 then the Pro.


Probably not significant though.

[Slayer]

Originally Posted by Coren

Red herring, and irrelevent to what I was saying.

Both divisions in both companies are in the same boat, with several years of losses, now making profits to chip away at those losses. Both likely have products in their respective divisions not making money, with others making money for them.

Nice try though.

Feel free to continue posting your irrelevant comments that nobody cares about. I dont care what other products each company has in their division. All I said was that MS makes money on the 360 and Sony has never posted a profit on PS3. That might be hard for you to cope with but its a fact, no fanboy spin needed.