Microsoft sees Q2 revenue $79.5B-$80.6B, consensus $80.1B

Says: “We expect FX to increase total revenue growth by two points within the segments, we expect FX to increase revenue growth by two points in productivity and business processes, and intelligent cloud, and one point in more personal computing. We expect FX to increase Cogs and operating expense growth by one point. Starting with the total company. We expect revenue of $79.5B to $80.6B, or growth of 14 to 16%. We expect Cogs of $26.35B to $26.55B , or growth of 21 to 22%, and operating expense of $17.3 to $17.4B USD, or growth of 7 to 8%. Operating margins should be relatively flat year over year, and down sequentially, aligned with historic seasonality. Now, other income and expense. The combination of OpenAI’s conversion to a public benefit Corp. and the ongoing nature of our partnership will result in increased volatility. Therefore, going forward, we will provide our outlook excluding any impact from our investments in OpenAI. On that basis, in Q2. Other income and expense is estimated to be roughly $100 million, as interest income will more than offset interest expense. And we expect our Q2 effective tax rate to be approximately 19%.” Comments taken from Q1 earnings conference call.