Microsoft posts profit but issues cautious outlook

Microsoft Corporation has posted quarterly earnings above expectations on higher revenue, but issued a cautious outlook amid …

Microsoft Corporation has posted quarterly earnings above expectations on higher revenue, but issued a cautious outlook amid a persistent slump in information technology spending.

The world's largest software maker reported a net profit of $2.79 billion, or 26 cents per share, for its fiscal third quarter ended March 31, compared with $2.74 billion, or 25 cents per share, a year earlier.

Analysts had forecast a profit of 24 cents per share. Redmond, Washington-based Microsoft's revenue rose to $7.84 billion from $7.25 billion a year earlier, compared with the $7.75 billion projected by analysts polled by Thomson First Call.