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  Microsoft's Q4 unravels, Surface RT bet flops
Time: 15:29 EST/20:29 GMT | News Source: ZDNet | Posted By: Byron Hinson

Microsoft's fourth quarter earnings and sales missed expectations by a wide margin as the PC market slowdown and a writedown of Surface RT inventory painted a bleak picture. The company reported fourth quarter earnings of $4.97 billion, or 59 cents a share, on revenue of $19.9 billion. The results include a $900 million inventory writedown for Surface RT that amounts to 7 cents a share. No matter how you slice it Microsoft was walloped. Wall Street was expecting Microsoft to report fourth quarter earnings of 75 cents a share on revenue of $20.73 billion. For the year, Microsoft reported earnings of $2.58 a share on revenue of $77.85 billion. Amy Hood, CFO of Microsoft, said the results were "impacted by the decline in the PC market", but the enterprise business was strong.

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