Microsoft has releases its financial report for Q3 FY 2023, noting a 30% decline in Xbox revenue.
Microsoft has released its financial report for the third quarter ended March 31, 2023, with the company noting a 30% decline in Xbox sales.
This was due to the prior year’s comparable high that benefited from increased console supply.
As part of the More Personal Computing segment, despite sales of Xbox falling, content and services revenue for the console increased by 3%. This was driven by better-than-expected monetization in third-party and first-party content and growth in Xbox Game Pass.
For the quarter, the segment brought in $13.3 billion, a 9% decline year-over-year (yoy).
In Gaming, revenue declined 4%, which was ahead of expectations.
For Q4, in gaming, Microsoft expects revenue growth in the mid-to-high single digits. The company expects Xbox content services revenue growth in the low to mid-teens, driven by third-party and first-party content as well as Xbox Game Pass.
