Microsoft Lumia Devices Gain Popularity But Profits Decline

Microsoft Windows is a juggernaut when it comes to PC but the company has had a tough time replicating that success when it comes to smartphones. That’s highlighted when you compare Windows Phone’s market share to Android or iOS but that hasn’t stopped Lumia devices from gaining popularity.

Microsoft has announced that Lumia handsets shipped more than 8.6 million handsets in fiscal 2015 Q3. The number represents an 18% year on year rise but an 18% drop when compared to the preceding quarter. The total sales for Lumia devices brought in more than $1.4 billion which is 16% less than one year ago. The company says that the decline in revenue is due to a focus on lower end devices.

Over 8.6 million Lumia handsets were shipped but revenue went down due to focus on low end devices 

Overall, Microsoft managed $21.7 billion in revenue with a net profit close to $5 billion. Revenue is said to have seen a 6 percent increase from the same quarter in 2014 but net profit saw a decline of 12 percent. Keep in mind that there were was a good deal of money spent on restructuring and integrating the Nokia mobile phones business so it’s not a surprise.

A Microsoft official also stated that the lack of Lumia flagships in recent times is unlikely to be addressed until Windows 10 is released. Right now, the company is focusing on low and mid-range phones and they’ve seen good return as the Lumia 535 recently became the most sold Windows Phone till date. Others like the dual SIM Lumia 540, Lumia 430 and 435 as well as the Lumia 532 have been popular in emerging markets including Pakistan.

He is the Editor at ProPakistani.

  • Tanweer

    1 Month passed still 640 hasn’t arrived in Pakistan, their page support is just terrible, the reason most people hate them.

  • Ghulam.e.Ahmed

    why Windows phones are not popular as much as Android are?

    • Afnan

      OS is bit hard for general population .. and the lack of apps

      • Ghulam.e.Ahmed

        OS is bit hard? more than 70% of normal users (general population) are using Win* on PC which shows their familiarity with it and Android is based on Linux …

    • Zubair A. Malik

      Because OS is not as good as Android and many common applications lacks basic functionalists

      • Ghulam.e.Ahmed

        yes, this is a valid reason, although there may be more reasons for Smart Phone users ( the normal users which are more than 90% )

  • Muhammad Mubashir Hussain

    Just wonder why my Lumia 820 is not updating to Denim? If i open the relevant support page for middle east i get the shock that 820 is not being updated to denim in Pakistan alone! Also although my phone supports 4G in hardware, the feature is disabled in software! Can i be expected to replace my phone with another Windows phone? I even don’t get accessories as easily like that for Samsung or IPhones!