Microsoft surprises with growing profits and improved Surface revenues Microsoft pulled in revenue of $18.53bn in the quarter, more than analyst expectations of $17.79bn and up from $16.01bn in the year ago quarter. The firm also shocked with the news that it took home $5.2bn net profit in the quarter and had operating income of $6.33 billion, up from $4.47bn and $5.3bn in the same quarter last year. These figures come despite a struggling PC market, although Microsoft reported that Windows revenue from PC makers was down seven percent in the quarter. It said that, perhaps surprisingly, its Surface tablets division helped make up the shortfall with $400m revenue from tablets and showing "sequential growth in revenue and units sold over the prior quarter". Amazon too had a good time, and infact have more employees than Microsoft ........ so cloud race is pretty much going on with Amazon in lead atm.