Summary
Microsoft Corporation (MSFT) filed a Form 8-K on October 26, 2015, to report changes in its segment reporting structure. This filing is primarily informational, designed to conform previously reported financial data with a new organizational realignment announced in June 2015, aligning with a 'mobile-first, cloud-first' strategy. The company has established three new reporting segments: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. This 8-K does not present new financial results or restate previously issued financial statements. Instead, it provides recast historical segment results for fiscal years 2015 and 2014 within the accompanying exhibits (99.1, 99.2, and 99.3) to reflect these new segment definitions. Investors should refer to these exhibits for updated segment information and consult the company's latest Form 10-Q for developments after the 2015 fiscal year-end.
Key Highlights
- 1Microsoft is realigning its organizational structure to focus on a 'mobile-first, cloud-first' strategy.
- 2New segment reporting structure: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing.
- 3The filing recasts prior period financial information (FY2015, FY2014) to align with the new segment structure.
- 4This is an informational filing and does not represent a restatement of previously issued financial statements.
- 5Operating income is now the key measure for segment profitability.
- 6Updated segment data for fiscal years 2015 and 2014 is provided in the attached exhibits (99.1, 99.2, 99.3).
- 7Investors should refer to the Form 10-Q for September 30, 2015, for information subsequent to the 2015 Form 10-K.