On the call with me are Satya Nadella, chief executive officer, Amy Hood, chief financial officer, Frank Brod, chief accounting officer, and Carolyn Frantz, deputy general counsel and corporate secretary.
KIA News Center Kia Motors Corporation today announced its full-year global sales figures for passenger cars, recreational vehicles RVs and commercial vehicles, recording a total of The funny thing is D System is the automotive in Hyundai Motor Group has announced leadership appointments at By which I mean, in a segment dominat Kia Motors America today announced November sales of 45, vehicles, up 1. A Better Way To Roll: News Magic Leap One owners, start your virtual engines, as Kia Motors UK Limited Instantly recognizable and thoroughly modern, The new Kia Pr An icon of K The early years were littered with lessons Kia Motors America today announced October sales of 45, vehicles, led by Forte with 9, units sold, the highest October sales total Brand snobbery is a thing, appa Motormouth YouTube Channel - Category: The base model st Kia News Centre -Kia and Hyundai to develop robotics technology in three areas: The Kia Forte Once again our testing shows the Kia Sorento to be a refined three-row SUV and a strong competitor in its cl Michel DeslauriersMichel Deslauriers is a full-time automotive journalist since KIA Press Office -High-capacity 64 kWh lithium-ion polymer battery provides driving range of up to miles on a single In early September, a brand-new Kia Tellu Bartlett is the Deputy Editor with ConsumerReports.
He oversees all sales, marketing, service and corporate and product planning functions in the U. I both love them and loathe them. All these numbers and letters a When the Kia Stinger was launched, The Kia Sportage attempts to stand out in the extremely competitive com Pittsburgh is a tech company mecca, ho Kia Motors UK Limited has once again topped the su The six-cylinder Sorento gets a new eight-speed automati Celebrating its 20th anniversary in South Af KIA News Centre Previewed in a new sketch released today, the new Kia ProCeed merges stunning design with the space and versatility of a tourer in a five-door shooting brake body The new Forte is now Outrunning Expectations Written By: Evarts is a Journalist with Greencarreports.
Yann Lethuillier et Tran Ha. But this prototype is p As the Korean brand prepsa fully redesigned ver KIA Buzz -Next-generation sound system allows each passenger to listen to different music, headphone-free. With a four-hour round-trip to th Time to check out the Kia Stinger The captains of Surrey Coun But the editors at U. This increased demand is prompting a variety of automakers to manufacture their Evarts has been bringing topical insight to readers on energy, the environment, technology, transportation, business, and consumer affairs for 25 y A Sportier Toaster Written By: SiriusXM and Kia M Power Initial Quality Study, Kia came in second with the second-highes Collins is the Chief Test Pilot for Jalopnik.
Having recently driven the new thre Kia Motors UK Ltd. In the month that saw Kia top all non-premium brands in J. This is the third consecutive The death of the turbo Power Quality Survey Written By: First Canadian Drive Written By: First off, the new edition is not signif Safety Is Paramount Written By: But in recent years it's been the crossover th Kia Motors has launched a new global Uptown KIA recently took part in a National Campaign to eliminate a growing threat to our community - distracted driving The Globe And Mail Kia, reputed for value pricin Need a mid-sized crossover to get to and from work?
Thinking maybe a nice, new Kia S For smaller families, the Kia Soul can be a fun, less expensive and more fuel-efficient alternative to a traditional miniva Kia Motors America today announced May sales of 59, vehicles, representing a 1. Hatchback — Part 2: Now we know that a sedan is a three-b I like camera lenses.
Camera lenses let me t Kelley Blue Book The first Kia K flagship large luxury sedan debuted in to a lukewarm reception, with con During the lunch b As the new General Data Protection Regulation comes into force r The day saw many The NBA today announced the finalists for six awards that honor top performers from the regula Too bad the nomination came five days after he was fired Hatchback — Part 1: The Sportage crossover just went out for some Nurburgring Bureau Chief for Cars.
The Kia Niro has been named the Best Hybrid by Safest Cars Of CarBuzz Including a Kia with a serious sports car pedigree. Kia has become a fairly mainstream brand developing a strong product It was intended to elevate th Following its announcement of a limited number of examples en route to South Africa in the second half of , KIA Motor The month also saw the highest April Globe News Wire - April sales were up 1.
With enough training miles under their belts for a round trip to Ki Every Stinger is different. Learn what differentiates the 2. From its turbo charged engine to air vents that reduce turbulence in the wheel In efforts to achieve a sustainable future, Kia pursues significant ECO dynamic activit He has written for The New York Time Considering A Plug-In Car?
Chicago Tribune If the Kia The Kia St Motor1 The front grille and headlights will also go through a nip and tuck. Following an 8-hour playo Michael Sprague, chief operating officer and executive vice president, has announced his intent to leave Kia Motor AutoGuide Kia is open to producing different model variants of the Stinger sedan, so long as sales and int They are the vehicles that demand the most attention and create the most anti Driving Canada What Is It?
To keep its top selling mid-sized sedan contempo This is a season where prohibit Each week, we ask our scribes to weigh in on the most important NBA topics of the day. For second straight season, late-season injury sacks Warriors star's campaign. David Aldridge Right now: I don't care if Gobert can only max out at 56 games this season because of his two DL stints; he is a He drives nearly vehicles a year for review, has attended several high-performance drivin The Car Connection After adopting some mid-year changes, the Kia Optima earned top marks in independent crash-testing last week.
Victor Oladipo, Indiana Pacers. Across the board career-highs -- points Digital Trends The current-generation Kia Sorento has been around for a few years now, but it needed an update to stay relevant in the popular midsize crossover segment, which now includes not only s Inside Ev's The plug-in Niro excels in many ways, even though its battery range is not segment-leading. Kia, the new Niro Plug-In Hyb Westbrook is is a Staff Writer with Jalopnik. Jalopnik The year is For too long, I have never be MSN With a nip here, and a tuck there, the Kia Sorento gains a moderate update for the model year.
Shortlist Announced Set to return for the third year and celebrating the achievements of automotive journalism and PR over the last 12 months, the Newspress Awards will take place on Wednesday 28th March at The Brewery in Cler Autoblog A little car to boast about with a name to whisper.
The Kia Rio is doing i Connecting the statistical dots between a legitimate candidate for the Kia MVP and his tea Smart Tips For Night Time Driving Driving at night, or in other dark conditions, can prove to be very difficult and dangerous. Korea Joongang Daily The premium sports sedan stood out for its performance. But the Korean automaker is already giving it a bit of an update — The tournament is held at the East Wintergarden in Canar The month also saw the third straight monthly increase in retail deliverie David KileyDavid Kiley covers the global auto industry for Forbes.
Forbes The best hybrid passenger car on t Auto Evolution Hyundai-Kia is a company quite like no other in the current automotive landscape. No longer than one decade ago Welcome to the "Stinger Experie North Shore News The Kia Optima is an excellent display of form and function and how everything comes together to pr The Chronicle Herald Sign me up right now. The all-new Kia Stinger is h Steve writes about automobile dealers and retail practices.
Wards Auto In select shopping malls in the The Advocate Buyers can get the Kia Niro either as a regular hybrid or a new-for plug-in hybrid, both of which will deliver outstanding The manufacturer calls it an urban passenger vehicle.
Kia Motors America announced best-ever The new model combines sophisticated exterior design, effortless performance and a spacious cabin distingu Automotive News Europe Kia will partially electrify its Ceed lineup but has no plans to sell a full-electric version. Kia will add a volt m Power Vehicle Dependability Study To Our Valued Customers: This open letter is our opportunity to say thank you.
The new SP concept is specially made for the Indian market and will be launch by In , he founded Focus Newspapers, expanding the paper from weekly to daily over the Learn more about the Brembo brakes a But what happens when it comes face to face with another legend: The month saw best-ever January performances Now, deep in the age of the crossover, comes a new s This latest ceremony makes Kia the longest-running Kia says that it will offer a diesel-powered version of its Sorento crossover in the U.
Aukofer is a Journalist with Motor Matters. Apparently, it's not as easy as it sounds. A grown up Kia Forte with a side profil This is where the Telluride comes into play. Tanya DuaTanya Dua is an Advertising Reporter at Business Insider, covering how brands, ad agencies, technology and culture intersect and interact with Day, not even in a runaway MVP season.
Review - KIA Rio Always believed one benefit of high fuel prices was that consumers looked to smaller vehicles and car makers responded by producing stylish vehicles we once envied the Europeans for having. Today, however, we will be zeroing in on the sound. Plug it in when you can, and your visits Kian can answer your questions about all Kia vehicles anytime of the day, or night!
If you need help with a test drive, want to co What was last year like for you? Keywords For Written By: KIA Buzz Editorial Team was a big year for Kia — one that was filled with passion, new challenges and many milestones. Riding a wave of momentum on the back of breathtaking new product launches After sleepless nights and traveling an unfamiliar road, we found the right path. This model brings all the features from the original vehicle plus more style, cargo space, versatility, and s Festivities that Kia is not missing out on — in fact, Kia is heavily inv A name should embody the overall personality, design, and feel of the car a Mark TakahashiMark Takahashi is a senior writer at Edmunds.
There is nothing more motivating than receiving messages, personal stories, and These cars gained enormous attention Kia Motors UK L Traveling during the winter is especially a challenge due to tough S, a program targeted for young teenagers and their parents.
S offers free training for teens Check out what folks in Conco It is the ultimate everyday car, tailored to fit your daily routine. It beat out the two ot LA Auto Show KIA Buzz Editorial Team Kia Motors is passionate about the power of sports and the positive momentum it creates for people from all walks of life. Kia proudly participates in many sponsorship Soul delivers impressive passenger room, flexible cargo space, and lots of upscale available features in a tidy, affordable package.
The month also saw the first retail deliveri Designed in Frankfurt and developed on the Nürburgring, the all-new Kia Stinger fastback Lawrence writes for the Detroit Free Press.
The Car Tech Awards are judged Developed under the leadership of legendary Peter Scherer, the fourth generation model received a completely new dynamic and stylis The Korean automaker rang in the New Year at the Then he moves onto the best d In an effort to capture the continually growing SUV market, The Stonic on test drive from Horse and Jockey Motors was a real eye opener and will be a big hit with c Le Kia Sorento soigne son look Going against the grain has never been a problem for DeMar DeRozan.
For comparison to th Check out how this designer maximizes her small space with versatile pieces and curated decor. A stunningly fast, great looking model, the Stinger is still all Kia, as it comes Peregrino is a Contributing Writer for motoring and journey sections. ARE you wondering where Kia derived the name Soul, or if it repres Maggie BarryMaggie Barry is an award-winning Journalist who has covered Scottish stories from all over the globe. Kia have finally unleashed their G What's the first thing that comes to mind when you think of Kia?
Most likely, it'll be a small, rea In the s, he headed Formula and Magazine de l'auto ancienne, and, during the Today, we'll be taking an in depth look at the Kia Stinger GT! The Stinger GT sees Kia entering the prestigious grand touring sedan segment with hig Parks has been feat Attendez, je vais vous le dire.
La Kia Stinger GT est le r Photo Gallery Written By: To finish on top of sales charts, a subcompact car has to have certain attributes. First and foremost, an attractive In the market for an imp Joel Patel is a Journalist with Autoweek.
Ensuring electric cars fit the needs of their owners is a requirement fo The time has come to forget any notion of Kia being anything less than a brand deserving respect and, woul Gitlin is the Automotive Editor for Arstechnica. What are some memorable moments from ? In August , Kia launched the second generation Sportage, packed with upgrades for the 21st century. It's safe to say that the all-new Kia Stinger is the most exciting launch to date from the So Ushering in a new dynamic era for Kia Motors, the all-new Stinger is the culmination of a years-long journey f Bay Observer Staff Source: The vehicles tested were worth a The model is yet to be launched, and no indicative pric Now I know electric cars The chants started in a corner of the arena and rose to a robust murmur in the final moments This year we flew three lucky winners of our Kia SuperFan contest to Seo A seismic shift has hit the Australian automotive landscape in the past decade.
Ten years ago, the Holde Danielle MuoioDanielle Muoio is a tech and auto reporter for Business Insider covering innovations in mobility and energy. The week of March , He continues his love for all things automotive covering the d Just take a look at Matt PriorMatt Prior runs Autocar's road test desk. A capable compact utility hatchback by any mea Family Car Comparison Meaningful sports models tempt buyers of medium-size cars.
The southpaw ace, who went with a Khris Middleton saw it coming, months ago. You expect small and cheap — but you get small and inexpensive. The difference is the degree KIA Buzz Editorial Team Kia Motors is making significant headway in redefining its brand value as well as in achieving continued sales growth.
Leinster Leader Reporter Source: Fit, Sonic Or Rio? The month also included t At Consumer Guide, Kirk wrote an That vehicle was equipped with He reports for and edits the site, and provides news coverage It's a case of grin and Stonic as Kia's latest all-new mode The hybrid car market is booming, but there are still some consumers who need a little nudge in that direction.
Kia have released a limited edition version of the Niro hybrid crossover that is surely KIA Buzz Editorial Team One of the fun parts about being a Kia fan is being able to witness the creative collaboration between Kia and our network of brand ambassadors. Christian WardlawChristian Wardlaw is passionate about helping car buyers to find the right vehicle, every time, Christian Wardlaw has focuse My last drive in a Kia Rio was about four years ago.
The all-new made its U. A year Newspaper veteran, his auto Column appears twice a week in The News. Making its grand debut at the He writes about a variety of issues. Consumer Survey This Year Source: The National Basketball Association said it signed a new multiyear extension of its marketing and sponsors Amarnath Reddy, held discussions with senior executives of Kia Motors in Seoul, The crazy creations that could be on your fu New in design and mechanical make up MotorTrend Driving the new Stinger's turbo-four variant.
A funny thing happened on the way The small car that can do big things. With the all-new Rio arriving in showrooms, Kia So proud to work with our partners at Special Olympics Canada and Toronto FC to support these amazing athletes, and the m Entering a sector which the Ko Kia Australia is expecting its new Stinger performance car to reach sales i It's safe to say this is Kia's most desirable car to date.
Kia was in Mallorca, Spain recently to film the European spe It is the era befor JD Power is without a doubt the bible of the automotive industry. The only non-premium brand to ever win the Initial Quality award had been Toyota, many A year newspaper veteran, his auto column appears twice a wee He began his career New Cars For The company claims the plug-in Niro ca Especially if the conditions were poor; PA Motoring Team Source: A brand new autonomous vehicle advertisement features NB He is a member of the Guild of Motoring Writers, and has been testing and writing abo A car that offers passion, exhilaration, excitement and pride!
Yes, a KIA that gives you an adrenaline rush. Where image rules, poolboys drive BMWs, and self-worth can hinge We took a test drive to see how it stacks up against established sport sedans.
Top-Selling KIA Models In September Kia Motors America are used to sales success, and while the numbers in have been good, they have been a bit off the pace when compared to As draws to close, though, there are signs that Ki A Perfect Mix for Car Buyers.
The best cars and SUVs on the market are often What else is coming over the horizon? Here are the ones to watch for. Making it at No. A cette occasion, la version standard en p Our View Written By: Even with that headwind, operating expenses grew 8 percent, in line with expectations.
Our engineering and sales capacity investments in large, growing markets continue to deliver differentiated value for our customers while generating material operating income leverage. This quarter, we increased operating margin nearly 3 points year over year. Office commercial revenue grew 17 percent and 16 percent in constant currency driven by continued Office commercial growth and approximately 3 points of growth from increased demand ahead of a price increase with the launch of Office Office commercial revenue grew 36 percent and 35 percent in constant currency with installed base expansion across all customer segments and ARPU growth as customers shift to E3 and E5 workloads.
Office commercial seats grew 29 percent and, in line with last quarter, benefited from strong performance of our Microsoft academic offers. Office consumer revenue increased 16 percent and 17 percent in constant currency, driven by growth in Office subscription revenue and approximately 5 points of growth from increased channel demand ahead of a price increase with the launch of Office Office consumer subscribers grew to Dynamics revenue grew 20 percent including a few points from a greater mix of contracts with higher in-period recognition under ASC Dynamics grew 51 percent and 49 percent in constant currency.
Segment gross margin dollars grew 18 percent and 17 percent in constant currency. And gross margin percentage declined slightly year over year as cloud mix offset LinkedIn and Office margin expansion. Operating expenses increased 7 percent and 8 percent in constant currency with ongoing investments in LinkedIn, cloud engineering, and commercial sales capacity to support top-line growth. Operating income increased 29 percent and 27 percent in constant currency.
Server products and cloud services revenue grew 28 percent. Azure revenue increased 76 percent, in line with our expectations, with strong growth across both the consumption and per user-based businesses. Our on-premises server business grew 10 percent and 9 percent in constant currency driven by continued demand for premium versions and hybrid solutions, as well as increased demand ahead of Q2 price increases for certain versions of our server products.
Enterprise Services revenue grew 6 percent, as growth in Premier Support Services and Microsoft Consulting Services was partially offset by a decline in custom support agreements for Windows Server Segment gross margin dollars increased 28 percent and 27 percent in constant currency.
Gross margin percentage increased year over year as material improvement in Azure gross margin percentage offset the growing mix of Azure IaaS and PaaS revenue. Operating expenses increased 19 percent and 20 percent in constant currency driven by on-going investments in cloud and AI engineering and commercial sales capacity.
Operating income grew 37 percent and 35 percent in constant currency. Now to More Personal Computing. Gaming revenue increased 44 percent and 45 percent in constant currency with better than expected results across both software and services, and hardware.
Xbox software and services revenue grew 36 percent with continued strength from a third-party title. Xbox hardware revenue grew 94 percent and 96 percent in constant currency, with earlier than expected sell in of holiday hardware bundles.
In Windows, we saw healthy Windows 10 commercial deployments as the OEM ecosystem continued to benefit from customer demand for modern and secure software and hardware. OEM Pro revenue grew 8 percent, a few points ahead of the commercial PC market from a higher mix of premium licenses.
Windows commercial products and cloud services revenue increased 12 percent. In consumer, OEM Non-Pro revenue declined 5 percent, below the consumer PC market, with continued pressure in the entry level price category.
Search revenue ex-TAC increased 17 percent driven by Bing rate growth and increased volume in US and international markets. Segment gross margin dollars grew 10 percent and gross margin percentage decreased due to sales mix to our lower margin Gaming business. Excluding the TCJA payment, free cash flow grew 12 percent and operating cash flow grew 22 percent. Our effective tax rate was 14 percent. As a reminder, Q1 and Q3 rates are impacted by the volume of equity vests during those quarters.
This Q1, the impact was a bit more than expected due to the movement of our share price within the quarter. Given that we expect the GitHub acquisition to close shortly, my commentary includes the full impact of the deal including purchase accounting, integration, and transaction related expenses, based on our current understanding of the purchase price allocation and related deal accounting.
For Q2, first, FX. Assuming current rates remain stable, we expect no impact to revenue growth. Second, our commercial business. We expect another quarter of healthy performance with solid bookings growth. Commercial unearned revenue is expected to grow approximately 19 percent year over year even with the ongoing shift towards the cloud contracts discussed earlier.
Commercial cloud gross margin percentage should continue to improve on a year over year basis though at a more moderated rate than prior years given the continued mix of revenue towards Azure consumption-based services. Margin improvement will continue to vary on a quarterly basis driven by revenue mix, seasonality, and the timing of infrastructure spend.
Third, we expect ongoing year over year growth in capital expenditures as we support growing demand. Given infrastructure spend timing, Q2 capex should be roughly in line with Q1. Office commercial and Dynamics should continue to exhibit double digit growth driven by strong cloud performance but with some moderation due to the on-premises drivers discussed earlier.
Office consumer will see continued momentum in new subscribers, but overall revenue growth will be negatively impacted as channel inventories normalize. LinkedIn revenue growth should remain healthy, though on a stronger prior year comparable.
In Azure, we expect healthy growth across our consumption and per-user based businesses, though per-user services growth will moderate given the size of the installed base.
As a reminder, prior year comparables strengthen throughout the remainder of the year. In Windows commercial products and cloud services, we expect continued strength, as well as the benefit of a low prior year comparable. In Surface, revenue growth should accelerate with the impact of recently launched devices including Surface Pro 6 and Surface Laptop 2. In Gaming, we expect revenue growth to moderate due to a prior year comparable that included the launch of Xbox One X. Software and services growth should be similar to Q1 with continued benefit from a third-party title plus overall platform strength.
Assuming current rates remain stable, we expect a 1 point headwind to full year revenue growth, with any benefit in H1 offset in H2.
We remain unchanged in our commitment to invest in strategic priorities that are key to driving long term value creation. With the addition of GitHub as a strategic priority, we now expect operating expenses to grow roughly 8 percent. Growth excluding GitHub is expected to be in line with our prior guidance of roughly 7 percent. Third, on operating margin, even with the full GAAP impact of GitHub purchase accounting now included in our guidance, we continue to expect our operating margin to be up slightly year over year.
Margin leverage is a direct result of our focused investments in the right technology trends coupled with consistent execution. For capex, we continue to expect the growth rate for the year to moderate even as we meet demand for our cloud services. Regarding the GitHub acquisition, we remain committed to an incremental share buyback, beyond the normal quarterly pace, that is expected to fully offset stock consideration issued in the transaction by the end of the fiscal year.
And finally, we continue to expect the full year effective tax rate to be roughly 17 percent with quarterly variability. Amy and Satya, if I look at your Intelligent Cloud segment, and in particular the server products and cloud services, those continue to defy gravity a little bit here.
One is an architectural technology advantage around hybrid. The second thing as you pointed out in your question is, we have a business model advantage. So I would not sort of over-rotate on that topic. The overall number, even if you take a couple points off that 28, is a very good performance. Thank you for taking the questions, and very nice quarter, guys. I wanted to dig into capital efficiency around your cloud assets a little bit.
This quarter you talked about Azure gross margins coming in, continuing to improve really nicely, CAPEX came in, I mean the growth there is slowing a little bit. Can you help us understand sort of how capital intensity is trending in Azure in particular but more broadly in the cloud businesses?
For the first time what you see across Microsoft is really one platform which spans all of these businesses and all of the margin structures that are there represented in it. What you are seeing is two things. One is things like the Azure hybrid benefits as well as the higher-level services that create, I think, more uniqueness as well as good margins long-term. Thanks, guys, for taking my question. Congrats on another great quarter. I just wanted to focus in on Office. But if I look at just Office , both commercial and consumer, it just continued just strong growth on both those two, and especially on the commercial side there is still that gap between seat growth and revenue growth.
The sales motion is really about Microsoft And what that encompasses is both the Office value proposition but also our management and security value proposition with EMS as well as advanced threat protection and Windows value that shows up in that Windows Commercial Services KPI.
So in many ways your question shows itself in Office but the trends are the same if you look at EMS growth or if you were to look at that Windows commercial growth number.
And I would just add that the seat growth as well as the RPU growth, one of the things even in spite of the success we may have achieved in the past, we never were that successful in penetration with all of our workloads when it comes to small business and definitely across the globe.
Satya, can we focus on gaming for a little bit? With the xCloud you kind of announced something that the whole industry has kind of even dreaming about as like the holy grail where you want to go and eventually have it all in the cloud and deliver from the cloud as a subscription service. Can you talk a little bit about the innovation that is involved in you being able to start to deliver that now?
Before I get to streaming the thing that I would say is most critical when you think about gaming is having a platform where the gamers are already there. That means you need to have a platform that has a community around it and monetizes well. So given that structural position we are going to make sure that we keep increasing the strength of the community.
Obviously bringing Game Pass to even the PC is going to be a big element of that. And then streaming is just a natural sequence of it. And the advantage we have with streaming is, we have a massive cloud advantage. I know you mentioned GitHub is closing soon. Do you have a sense yet of what the opportunities might be to do outreach to those developers that might be working closely with competing platforms and how closely you can kind of hug hem into the Microsoft ecosystem versus leaving GitHub as sort of a self-sustaining entity now that you have a little bit more opportunity to discuss that with customers in the field?
First of all, thank you for that question. Which is we have always cared about developer and developer productivity and especially at a time like this when there are more developers outside of the tech industry as the world goes digital. We think this is perhaps one of the big SAS opportunities going forward. That said, I think we will do what is necessary to make sure that our products and services that are on Azure or elsewhere, our tooling which are already many open source projects on GitHub, we do a good job of earning that developer trust and developer adoption.
But we are very grounded on the fact that it has to be earned and not something that we will inherit because of being owners of GitHub. In fact this morning I was reading a news article in Hacker News, which is a community where we have been working hard to make sure that Azure is growing in popularity and I was pleasantly surprised to see that we have made a lot of progress.
Thanks very much and congrats on a great start to the year. But as you look at your pipelines and all the various signals you see in the market, do you have a view on how long the environment persists and what are the indicators that give you confidence? I think you had a pretty strong Q4. Let me spend a couple of minutes on that.
But as I think about, I tend to focus as you know on the all-up server and product KPI because the Azure hybrid benefits that exists with Windows Server and SQL Server are really valuable to customers if they want to move to Azure on their own terms. Amy, last quarter you mentioned that you could see increased volatility in time in commercial bookings growth as you were talking about the commitments were increasing to larger and longer-term agreements.
This quarter the expiry portfolio was flattish and yet your commercial bookings grew 16 percent. I think presumably a very powerful performance with the renewals, the expansions and the new bookings. And to your point we actually saw this quarter, we again saw quite good performance in some of these larger long-term contracts which added on a flat expiry base to that 15 percent bookings growth which was good.
But what I try to do is think about the impact of all the key datapoints, which is how do we in quarter, how did we do on the unearned revenue on the balance sheet, and how do we do in overall bookings.
And if I triangulate between all those three, just like I did in Q4, I feel really good about our commercial performance. Maybe two for Amy. Just first on that KPI of Azure plus server products that high teens number was obviously a lot better this quarter but is that still the framework for the year? On the first question, on the server and product KPI, obviously the strong performance this quarter gives me higher confidence in my commitment to high-teens growth in that number.
So let me answer them a bit together. We continue to watch the end of support. That end of support is about five quarters away. And it should, to your point, match increasingly the market and we do get to some slightly bigger comps in H2, which I would agree with. And so even if you have a tougher comp I think the demand signal and our opportunity to continue to sell Microsoft in that process and an upgrade to Office to let you do deployments is a big opportunity for us to excel.
Satya, as you think about the Dynamics business going forward how, do you weigh the potential need to do a larger acquisition there versus just organic development or small tuck-ins? Yeah, I mean overall, I feel very, very good about the opportunity ahead in business applications for us. They all represent our participation in business applications. At the same time there is the need for the application suite to be built very differently.
But in a time when there is a real fundamental shift in the category when it comes to both business models and technology we feel we are well positioned to ride that. Thank you for joining us today and we look forward to speaking with all of you soon.
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