Microsoft and Intel released their latest earnings reports after closing bell tonight. Microsoft posted adjusted earnings of 83 cents per share on $24.09 billion in revenue and $26.07 billion in adjusted revenue, while Wall Street was looking for 79 cents per share on $25.3 billion in revenue. In the same quarter a year ago, the Windows maker and cloud services provider reported 78 cents per share in profits on a non-GAAP basis and $23.8 billion in sales.

Microsoft Corporation, Intel Corporation Shares Rise After Earnings Beats
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Intel reported 79 cents per share in earnings on $16.4 billion in revenue, while analysts had been expecting adjusted earnings of 75 cents per share on $15.75 billion in revenue. In the year-ago quarter, the chip maker reported 74 cents per share in adjusted profits on $14.9 billion in revenue. Intel had guided for revenue of $15.2 billion to $16.2 billion for the quarter.

Microsoft posts solid sales growth

Microsoft’s GAAP earnings rose to 66 cents per share from 62 cents per share in the same quarter a year ago. Productivity and Business Processes revenue rose 10% to $7.4 billion, while Intelligent Cloud revenues rose 8% to $6.9 billion. More Personal Computing revenues declined 5% to $11.8 billion.

PC shipments appear to be stabilizing around the world, as worldwide shipments fell 1.5% year over year to hi 70.2 million in the fourth quarter. However, they decline is much better than the 5.7% decline observed in the fourth quarter of 2015. The December quarter also marked the first full quarter of sales for the company’s new Surface and Windows products, which went on sale in October. The new Surface Studio PC is priced at about $3,000.

Shares of Microsoft bounced around in after-hours trading tonight before heading upward with a rise of as much as 0.76% to $64.76.

Intel posts growth across segments

Intel’s GAAP earnings edged down 1% year over year to 73 cents per share.

Data Center Group revenues amounted to $4.7 billion, an 8% increase, while Wall Street was looking for $4.79 billion in revenue from the segment. Intel’s Internet of Things segment revenue rose 16% to $726 million, while it was expected to bring in $704 million. Memory sales rose 25% to $816 million, while they were expected to account for $674 million. Intel Security Group revenues rose 7% to $550 million. Analysts were projecting that Intel Security would bring in $544 million in revenue.

Like Microsoft, Intel also was expected to benefit from the stabilizing PC trends, although its Client Computing Group was expected to account for over 50% of total revenue. The segment’s revenues rose 4% to $9.1 billion in the fourth quarter, while analysts were projecting $8.55 billion in sales for the segment.

Shares of Intel edged upward by as much as 1.17% to $38 in after-hours trades.