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Xbox Q3 financial results: record results, demand even higher than supply

Microsoft released the company's third-quarter financial results (Q3) last night, which runs from January to March 2021; while the company in general sails as always in excellent waters, with revenues of as much as $41.7 billion for the quarter (19% more than in the same period of 2020), the Xbox section also records record results.

In fact, gaming revenues increased by 50% compared to the same period last year, with a 34% growth for the Content and Services area (i.e. that of Game Pass and sale of first/thid party games on all platforms, including Steam), while, and this should come as no surprise to anyone, hardware sales increased by 232%, thanks of courseto the launch of Xbox Series X and S that continued to sell a lot even in these first months of launch.

The interesting fact is, however, that hardware sales could have been even better if Microsoft had managed to produce more consoles: according to CFO Amy Hood, in fact, demand constantly exceeds supply for both new consoles: we see this daily with the constant shortage of both models, a situation that many analysts believe could continue until the end of the year and even early 2022.

These results mark the best Q3 since Microsoft began discorpoting its Xbox division results from those in other industries, accounting for about $3.52 billion in revenue for the area. If the trend is confirmed in current Q4, analysts expect the Xbox section to report 15 billion revenue for the full fiscal year 2021- the best financial result ever for the division.

In short, it takes little to understand that the Xbox area enjoys excellent health and that the many moves made by Phil Spencer are paying off for the company!