Microsoft's Entertainment and Devices Division (EDD) – responsible for everything from the Xbox 360 to the Zune – has once again posted a net quarterly profit. What's behind the good news? "Xbox platform and PC game revenue increased $418 million or 85% primarily as a result of increased Xbox 360 console sales, Xbox 360 video game sales, and Xbox Live revenue."

Revenues are great and all, but what about profit? The EDD posted an operating profit of $89 million for the third fiscal quarter, and an operating income of $614 million for the nine-month period (a marked improvement from the $746 million loss during the same period last year).

Full story: joystiq.com