In an investor slide deck, Microsoft said it expects to report between $51.94 billion and $52.74 billion in revenue for the quarter. The company previously forecast fourth-quarter revenue in the range of $52.4 billion to $53.2 billion.
Microsoft also slightly cut its earnings forecast for the quarter, saying it now expects to report adjusted earnings per share in the range of $2.24 to $2.32. Previously, the company projected adjusted EPS between $2.28 and $2.35.
Satya Nadella, chief executive officer of Microsoft Corp., appears at a panel session at the World Economic Forum in Davos, Switzerland, on May 24, 2022.
Hollie Adams | Bloomberg | Getty Images
Wall Street is expecting Q4 revenue of $52.87 billion and an EPS of $2.33, according to the consensus among analysts polled by Refinitiv.
Microsoft finance chief Amy Hood had suggested in April that exchange rates could impact guidance.
“We expect other income and expense to be negative $50 million reflecting FX remeasurement impact based on market conditions in April,” Hood said. “Similar to the rest of our guidance, further equity and FX movements thru Q4 are not reflected in this number.”
Shares of Microsoft closed up 0.7% on Thursday.
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