Microsoft reported its largest-ever quarterly net loss, hurt by a US$7.5 billion (S$10.3 billion) writedown after the purchase of Nokia's handset unit failed to rescue the software maker's mobile business. The fourth-quarter (to June 30) loss was US$3.2 billion, and sales fell 5.1 per cent to US$22.2 billion, Microsoft said on Tuesday. Profit was 62 US cents a share against an average projected profit of 58 US cents, but gains were overshadowed by the writedown, an acknowledgment that the Nokia deal had lost almost all its value after a little more than a year.
Apple Inc shares slumped nearly 7 per cent in after-hours trading on Tuesday as its fourth-quarter revenue forecast fell short of estimates and it missed some targets for iPhone sales. The shares dropped to US$121 after the company released its results on Tuesday, from US$130.75 at the close. The forecast overshadowed Apple's strong sales in China, which more than doubled to US$13.23 billion from a year earlier. Apple said it sold 47.5 million iPhones in the third quarter, up 35 per cent from a year ago. Analysts had expected around 49 million.
Yahoo fell 2.9 per cent after forecasting sales in the second quarter below analysts' estimates. The US$22 million loss in Tuesday's earnings report compared with a profit of US$270 million in the same period a year ago. Revenue in the second quarter, excluding sales shared with partner websites, was little changed to US$1.04 billion. Profit, excluding items such as stock-based compensation, was 16 US cents a share. BLOOMBERG