Xbox 360 and Kinect boost Microsoft profits

Record profits reported by Microsoft, following successful Kinect launch in late 2010
Record profits reported by Microsoft, following successful Kinect launch in late 2010

Microsoft reports record revenues of $16.43bn (£9.86bn) this week for its third financial quarter (ending March 31 2011), with sales of the Xbox 360 and Kinect helping to boost Redmond's coffers.

Revenues were up 13 per cent year-on-year, with overall profits climbing 10 per cent to $5.7bn (£3.42).

Microsoft's Entertainment & Devices Division (EDD) posted revenues of $1.94bn (£1.16bn), up 60 per cent compared to the first quarter in 2010, with EDD profits up 50 per cent to $225m (£135m).