Microsoft reports over $3.5 billion in gaming revenue for record-breaking third quarter

Microsoft’s gaming business continues to grow, according to the company’s financial report for the third quarter (ended March 31).

Key data from the report

Microsoft’s total revenue for the third quarter was $41.7 billion, which is up 19% year-over-year. The company also reported a net income of $15.5 billion, which is up 44% year-over-year.
Gaming revenue was $3.53 billion, which is up 50% from the previous year. It is the best Q3 for the division ever.
According to Niko Partners senior analyst Daniel Ahmad, Microsoft’s gaming revenue over the past 12 months (ended March 31, 2021) was around $15 billion. It’s up 45.6% year-over-year. The launch of new consoles and including ZeniMax’s products in the company’s reports were the main drivers.

Xbox content and services revenue was around $2.89 billion, which is up 34% year-over-year. It was driven by third-party titles, Game Pass subscriptions, and first-party games.
Xbox hardware revenue was around $635 million, which is up 232% year-over-year. The continued demand for Xbox Series X|S was the main driver.