The world’s fourth wealthiest man, Bill Gates, saw his fortune sink by about a billion dollars after Microsoft reported better-than-expected earnings and revenue for its fiscal second quarter.
Based on data retrieved from Bloomberg, the 65-year-old billionaire holds $55.3 billion in the bank and is currently valued at $127 billion.
Consequently, the 66-year-old American born billionaire’s net worth can buy 68.4 million troy ounces of gold or 1.44 billion barrels of crude oil.
By Tuesday’s close, the stock had fallen 14% since the start of 2022, and was on track for its worst month since 2010. Along with the slump, investors are bracing for rising interest rates, which have led to a decline in technology stocks.
Microsoft Stellar earnings
Compared with the previous quarter’s almost 22% growth, revenue increased by 20% from a year ago, according to a statement. The company’s net income of $18.77 billion increased by 21%.
At the end of the year, the company had unearned revenue of $36.77 billion, below the StreetAccount consensus of $36.90 billion.
This is the first time that Microsoft’s remaining obligations totalling $152 billion will fall below 50% since at least 2017. The company expects to recognize 45% of those obligations in the coming year.
On Microsoft’s earnings call, Amy Hood, the company’s finance chief, reassured investors that demand remains strong across much of the company.
For the fiscal third quarter, Hood said the company expects revenue of $48.5 billion to 49.3 billion, above the Refinitiv consensus of $48.23 billion. A slight increase in operating margins is now expected for the full year, Hood said.
Bill Gates personal life
Gates grew up in Seattle, where his father was a lawyer and his mother was president of the local United Way. After entering Lakeside School, he became interested in computers.
His Lakeside friend Paul Allen persuaded him to leave Harvard to help him build an operating system for the Altair in 1936 when he scored a 1590 on his SATs (out of a possible 1600).
Micro Instrumentation & Telemetry Systems has developed a new computer, the 8800. Thus, the result produced Microsoft which is now the largest software company in the world.
The tech billionaire has received at least $55 billion in dividends and stock, including a $3.3 billion payout from Microsoft in 2004 which he donated to his philanthropic foundation, according to Bloomberg data.