Microsoft Falls as Progress on Turnaround Plan Skids
- Revenue being hurt by weakness in one-time purchases, CFO says
- Nadella's transition to cloud, subscriptions to take time
How Microsoft’s Shift to Cloud Impacted Margins
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Microsoft Corp. shares fell Friday, reversing a march toward a historic high, after the company’s earnings report suggested the progress made in its corporate turnaround took a step backward.
The software maker Thursday reported third-quarter earnings that fell short of analysts’ estimates because of a higher tax rate and said sales in the current period will fall short of some projections, sending the shares down. Chief Financial Officer Amy Hood said results are being hurt by weakness in one-time purchases of software, what Microsoft calls its transactional business.