Microsoft shares slip as profits dip despite record revenues Chief executive Steve Ballmer said the company's "big, bold ambition to reimagine Windows as well as launch Surface and Windows Phone 8," had sparked "unprecedented opportunity and creativity with our partners and developers." The profit amounted to 76 cents per share - one cent better than the Wall Street consensus. Citi analyst Walter Pritchard said Microsoft was on target. "This was the first time in memory we haven't seen disappointment in the Windows line," he said in a research note, maintaining a buy rating. Raimo Lenschow at Barclays said the results were "essentially in line with investors' low expectations." The Windows division saw revenues jump 24pc to $5.88bn, while revenue was up 11pc to $869m at Microsoft's online services division. To date, more than 60 million Windows 8 licenses have been sold. The growth in Windows sales was driven by operating system upgrades, sales of Surface tablets, and businesses licensing Windows 8, Microsoft chief financial officer Peter Klein said in a conference call with analysts. "We learned a lot this quarter; we saw some really great demand for some of the touch devices we brought to market," Mr Klein said. Microsoft is working with device and chip makers to field a variety of Windows 8 touch-screen devices "at the right price points," he noted. Microsoft is also beginning to see a pay-off from years spent working to "finely tune" its search engine that powers queries at Yahoo! websites. Gains in online services, server and enterprise software helped offset a decline in the entertainment division which produces the Xbox console and games. Microsoft is expected to introduce a successor to the Xbox 360 this year, with the videogame console evolving into a hub for digital home entertainment. Windows remains the dominant platform for personal computers, but Microsoft has lost ground to Google and Apple in newer devices which use rival operating systems. The company's search and online services have struggled, but its Xbox is the hottest gaming system in the industry.