Microsoft on Thursday reported better-than-expected quarterly adjusted revenue for the third quarter. It’s the ninth quarter in a row that the company’s revenue has climbed as cloud computing has helped the company grow its user base both among businesses and general consumers.
Chief Executive Officer Satya Nadella, has been shifting Microsoft’s focus to software and cloud services as demand for the Windows operating system continues to slow with the emergence of smartphones, tablets, and other portable devices.
Microsoft’s shares rose by 9.8 percent to $52.75 in after-hours trading, their highest price since March 2000.
Under Nadella, the tech giant has started to streamline its platforms, while cutting 1,000 jobs or approximately 1% of Microsoft’s workforce.
Revenue from Microsoft’s cloud business grew by 8% to $5.9 billion and is expected to reach $6.2 to $6.3 billion in the current quarter.
Revenue in the business rose 14%.
Microsoft still has a long road ahead. The company is facing steep competition in the cloud space from Amazon, Google, Box, Dropbox, and various other competitors. Many company’s are in a race to zero as they begin to offer some core products at no cost in an attempt to lure customers to their paid services.