Microsoft’s MSI Computer Accessories business says sales of computer accessories plunged 23% this year

By CNBC’s Paul Carrasquillo and Lisa KoganPublished Dec 10, 2017 10:16:21Microsoft’s MSi Computer Accessories Business said its sales of desktop computers, laptop computers, printers, and other consumer electronics plunged 23 percent this year, its fourth consecutive year of declines.

The company posted a $1.5 billion loss for the year ending in December.

The loss was partially offset by revenue of $3.1 billion from new businesses and $1 billion in sales from existing businesses.

Microsoft said the revenue loss was offset by $4.3 billion in profit from other businesses, mostly software, and $2.1 million in new business revenue.

The stock fell more than 5 percent after Microsoft reported its fourth-quarter revenue fell by more than $1 trillion to $1,082.4 billion.

Microsoft said revenue from the PC business fell $6 billion, or 27 percent, to $24.7 billion, and net sales fell $3 billion, to about $17.6 billion.

Microsoft attributed the loss to a “relatively low” level of sales from its new businesses, and a “substantial increase in the number of our PC customers and a decline in the PC revenue from existing customers.”

In a statement, the company said its loss was primarily due to lower sales of PCs from existing Windows PC customers, a decline of $764 million from its existing PC business, and lower revenues from other Microsoft products.

Microsoft also blamed a decrease in revenue from software and the company’s “unexpected” decision to restructure its software business.

Microsoft is now in the process of restructuring its software and hardware business, it said.