Ok, so operating and net income was down, but Microsoft still MADE 4 Billion dollars last quarter. It seems pretty obvious to me that many firms are using the current economy as an excuse to slash jobs in hopes of boosting stock perfromance and bonuses.
Quick note to those making these cuts, if everyone keeps slashing jobs, there will be no one to buy your products and services. The downward spiral will just continue.
Think about it.
From DM NEWS:
Software giant Microsoft is slashing 5,000 jobs over 18 months in its first company-wide layoffs, including 1,400 jobs today following disappointing second quarter results.
While revenue of $16.63 billion was up 2% for the quarter, which ended December 31, over the same period in 2007, operating income was down 8%, to $5.94 billion, the company reported. Microsoft is taking “additional steps to manage costs, including the reduction of headcount-related expenses, vendors and contingent staff, facilities, capital expenditures and marketing,” according to a company statement.
Net income decreased 11% to $4.17 billion, and diluted earnings per share decreased 6% to 47 cents.