Microsoft to cut 5,000 jobs as profits fall 11%
InformationWeek | at | by Mike
Slammed by a decline in sales of its core Windows PC operating system and a weak global economy, Microsoft on Thursday reported one of the worst quarters in its history in a surprise, pre-market disclosure. The company also said it would ax 5,000 jobs as part of a broader effort to control costs.
Total sales at the software maker were up a marginal 1.6% year over year in the second quarter, to $16.63 billion, but Microsoft's net income slumped 11% during the period, to $4.17 billion. Earnings per share fell 6% to 47 cents. Analysts surveyed by Thomson Reuters were, on average, expecting the company to post EPS of 49 cents.