“Last year Apple notched a record $18 billion in profit during [the holiday] period, the largest ever recorded by a single public corporation,” Ben Popper reports for The Verge. “This year the company topped that, generating a profit of $18.4 billion on $75.9 billion in revenue during the last three months of 2015. The average sale price for its best selling devices, the iPhone, iPad, and Mac, was also a record high, boosting Apple’s margins to 40.1 percent.”
“But, the company also predicted that revenue for the second quarter of 2016, which for Apple is the first three months of this year, would come in between $50 and $53 billion,” Popper reports.That is down from the $58 billion in revenue it booked during the second quarter of 2015, and would mark the first year-over-year revenue decline for Apple in the last thirteen years.”
“On today’s call with investors, Apple CEO Tim Cook started off by congratulating his team on another record quarter. He then segued to discussing the headwinds Apple faces from the volatile environment in the global economy, and the weakening of most foreign currencies against the dollar,” Popper reports. “Apple’s growth rate, Cook noted, would have been 7 to 8 percent higher without these currency headwinds.”
Read more in the full article here.
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My god they killed him…!
Saying you have record Apple Watch sales without disclosing sales numbers is meaningless.
Apple could have sold 2 Apple Watches in the previous quarter and then sold 3 this past quarter.
Before it was announced, Apple stated that Watch sales will not be itemised as precise figures would benefit Apple’s rivals. Talking of which, do any smartwatch manufacturers release accurate sales numbers?
However the category in Apple’s financial report that includes Watch sales has grown spectacularly since Watch was released. If you try to imply that Watch sales are low, you’re going to have to find a way to explain that sudden rise in profits in the ‘other’ category.
Tim Cook has to go – he has lost the confidence of large investors and the stock will never ever go up with him in charge – although he has be responsible for the largest reported quarters of a public company – it doesn’t seem to matter, take a look at the entire 2015 for the company he is in charge of.
Two Records in two consecutive quarter… They hold the top two profitability records .
To clarify… 2015 most profitable publicly traded company ever .
1st quarter 2016 most profitable company in one quarter in history of publicaly traded companies .
All achived against nasdive headwinds .
Yet look at headlines and stock.
All despite Tim reassuring several times… “We reamin extremely confident in the future and longer run..”
All wall street hears is q2 guidance aberration …
They cant see past their nose .
Meant massive headwinds
I thought nasdive headwinds was very clever!
The “record” quarter is not surprising and expected. It was Christmas. iPhone sales down and people wonder how Apple will progress from here.
I think it’s great they had this quarter. I’m just interested in Apple Watch sales and we still have no sales data. So Apple’s “record quarter for the Watch” is meaningless.
No it was not.. Given last years pent-up demand for larger phones and a massive holiday season..
Yet They beat that despite massive headwinds… Thats what market fails to see.
Less iphones? Less than some anal-ist expectations.
Consenses was 76 million iphones they sold 75.8. … 200 k differance…/…its laughable .
Just look at the cash they generated in profits.. 18 billion … Take some time to digest that and compare it to other companies with pe s of 30 to 1000.
Ya, ya, ya. It’s all downhill from here for Apple. Hey, its sort of like aging!
/s
All of your comments are completely accurate Jim – it doesn’t matter whatsoever – look at the stock performance the last year – the big money is getting out and can’t get out quick enough, hence the constant and relentless selling pressure even in up markets – think about it !!
That would be the two A-watches I’ve seen in the wild 😎
Trust me… I am not on the bandwagon of trying to push AppleWatch on you… But i can confidently tell you that i love my Applewatch. …….And wont leave home without it…. Its elegantly subtle and subtly productive …… Mind you im not into watches as jewelry or ornamental masterpieces… But even there i find the Applewatch design to a beautiful harmony of proportions and lines….
Yeah, that’s you and not many other people.
The watch failed. Just like Tim Cook. A massive failure.
Where do you live? The woods?
And yet all the headlines are negative!
It’s all for the sake of comedy.
That’s what clown analcysts and jouranalcysts are for!
The future will look at the current era and Laugh!
and Laugh!
and Laugh!
And Apple will still be shiny. 🍎
Not enough! Not enough! Macs, MacBooks, and MacBook Pros, should be selling like crazy, LIKE CRAZY! The Mac Pro, should be the product every engineer that wants to get work done demands.
NOT ENOUGH!
Is this crazy sarcasm or crazy delusion? The computer business is static at best and generally in decline so how would it be logical to be selling like crazy. Outselling the PC market is the true aim.
MAKING MORE MONEY IS THE TRUE AIM!!!!
You seem to be confused, you must think you are watching baseball and you are cheering your team. SNAP OUT OF IT! GET YOURSELF TOGETHER MAN! CLEAR YOUR HEAD!
IT’S SIMPLY ABOUT THE CASH!!!!!!!!!!!!!
THE CASH! and to get more cash, apple must sell more stuff. Macs have the next highest margin product.
Doesn’t Apple know you need to not make a profit just like Amazon or Facebook if they want Wall Street to like them.
The numbers prove it – Apple is recession proof.
The Great Recession proved that.
What a wonderful observation. Finally someone said it! 😀
Seriously, Appl earns a record profit of $18.4 billion in a quarter, with a ” B ” ! They break their own record of $18.0 billion a year ago and the stock is down about $ 2.50 in after hours . Really ? So what would it have taken to turn the needle positive ? Google,Amazon and Microsoft don’t even come close to these numbers however their stock to goes up ? IMHO I don’t think appl stock would have gone up even if they earned more money or projected any better. I’ve been an appl investor for about 6 – 7 years and I have never posted a comment here. It’s very frustrating to see how manipulative Wall St is towards the most successful company ever ! Appl should use their money to buy these WS investment firms and then fire the analysts ! I understand that’s not realistic, I’m just venting .
$18.4 vs $18.0 is effectively meaningless at this level. Apple launched a new Apple TV, an Apple Watch, and new iPhones and growth is effectively stalled YOY.
That’s the problem.
Negative Nancy, you and bob are doing the happy dance. I’m long AAPL for a long time and will keep reinvesting the dividend in more AAPL.
Troll somewhere else boys.
Listen to you people. You do this over and over and over and over for years. We get you think that the stock SHOULD be worth more but nobody cares what you think. The stock market is simply irrational and can make no sense. So get on with your lives and just move on. Neither Apple nor any other company is guaranteed a certain stock price. Lots of variables, not the least of which is how dilutive the stock is.
Against massive global headwind ? They break last years alltime massive holiday record, a record brought about by a huge pentup demand for larger phones… and to you its meaningless?
They added 18billion in profits to their cash.. Its meaningless.
Just normalize for last years exceptional holiday anomaly due to the larger phones…. And then the years currancy headwinds . Then see how apple did in the big picture.
2014 q1…….57b rev. 13b profit….
2015 q1….. 74b rev. 18b profit
2016 q1…..76b rev ……18.4 profit
Then go ahead and compare apples performance with pe of 10…. To those companies with pe of 30 to 1000…..
2012 q1… 46b rev, 13b profit
2013 q1 …54 brev, 13.1b profit
Then one can see that the 2015 anomaly (spike) is the problem in the perception .. Not actual growth and performance in the bigger picture !
That is pure bullshit. Every oil company before them that set record sales saw stock go up. It isn’t flat if you have squeezed record quarters twice in a row. If you look at this as a failure because it didn’t beat the previous world record by more than 400,000,000 dollars (that’s what the .4 means) you are more of a moron than you appear to be, and that would be nearly impossible.
$400 million is not effectively meaningless, here are the TOTAL EXPORTS for ENTIRE COUNTRIES of less than $400 million…..
178 Greenland $384,300,000 2010
179 Montenegro $370,200,000 2014 est.
180 Kosovo $349,000,000 2014 est.
181 Northern Mariana Islands $288,000,000 2013
182 Gibraltar $271,000,000 2004 est.
183 Cabo Verde $253,000,000 2014 est.
184 Aruba $236,500,000 2014 est.
185 French Polynesia $230,000,000 2013 est.
186 Saint Lucia $203,300,000 2014 est.
187 Guinea-Bissau $171,900,000 2014 est.
188 Maldives $166,000,000 2013 est.
189 Central African Republic $150,300,000 2014 est.
190 Djibouti $130,100,000 2014 est.
191 Falkland Islands (Islas Malvinas) $125,000,000 2004 est.
192 Nauru $125,000,000 2013 est.
193 Gambia, The $123,500,000 2014 est.
194 Burundi $122,400,000 2014 est.
195 Micronesia, Federated States of $88,300,000 2013 est.
196 Kiribati $84,750,000 2013 est.
197 Andorra $70,000,000 2012 est.
198 Saint Kitts and Nevis $62,900,000 2014 est.
199 Antigua and Barbuda $59,800,000 2014 est.
200 Marshall Islands $53,700,000 2013 est.
201 Vanuatu $49,100,000 2014 est.
202 Saint Vincent and the Grenadines $48,200,000 2014 est.
203 Grenada $42,200,000 2014 est.
204 Tonga $38,800,000 2014 est.
205 Dominica $38,600,000 2014 est.
206 British Virgin Islands $25,000,000 2014 est.
207 Turks and Caicos Islands $24,770,000 2008 est.
208 Samoa $24,000,000 2013 est.
209 Palau $19,100,000 2014 est.
210 Saint Helena, Ascension, and Tristan da Cunha $19,000,000 2004 est.
211 Comoros $18,300,000 2014 est.
212 Sao Tome and Principe $17,400,000 2014 est.
213 Timor-Leste $15,500,000 2014 est.
214 Cayman Islands $15,200,000 2014 est.
215 Bermuda $11,000,000 2014 est.
216 Saint Pierre and Miquelon $6,641,000 2010 est.
217 Anguilla $6,300,000 2014 est.
218 Montserrat $3,600,000 2014 est.
219 Tuvalu $600,000 2010 est.
220 Niue $201,400 2004
221 Wallis and Futuna $47,450 2004
222 Cook Islands $3,000 2011 est.
223 Tokelau $0 2002
AAPL with a P/E of around 10 is the most undervalued stock of all large cap companies. The company makes more money than any company in the world and has the best balance sheet of any company in the world, and yet Google, Facebook, Netflix, and even Microsoft have much higher P/E ratios. Apple makes more money than all those companies COMBINED. Go figure. Oh I know, it’s only growth and hopes of making money in the future that counts, actually making money now is boring.
👍👍👍👍👍
Reminds me of the boring, undervalued virtues of a stable job, sensible investments, and a life lived morally, as compared to the electric thrill of gambling with other people’s money, cheating on your wife and girlfriend, selling your friends down the river.
It’s all about the Juice. Players get high on danger and adventure like junkies. The payoff is putting one over on everybody. The money doesn’t matter; winning is what matters, because it makes you feel alive when nothing else does.
Once again spectacular Apple success is met with Wall St. indifference and cynicism. The stock may be spoiled for all time for no good reason thanks to the idiot anal-cysts.
Please add these two years to the above to get even a better picture
2012 q1… 46b rev, 13b profit
2013 q1 …54 brev, 13.1b profit
Then one can see that the 2015 anomaly (spike) is the problem in the perception .. Not actual growth and performance in the bigger picture !
Sorry duplicate
Ok, Lets see the Microsoft NFL, AFL tape again on Broncos/Patriots?
Wish Apple could go private
But but but! The analcysts said Apple was going to tank!
You you you mean they were WRONG?!
OMG OMG OMG! 😥 😥 😥
They come to bury Caesar, not to praise him.
So Apple earns chump change 18.4 billion profit for the quarter the worst quarterly earnings of any Fortune 500 Company ever and to add to their woes they have a measly 216 billion in liquid assets. How can they survive? They can’t! Apple is doomed!
The Joy of Tech cartoon for 01-27 nails it:
Every company should have to pay out to it’s shareholders 80% of the profits. Only then will you see realistic evaluation for these companies. Why? Because those companies making the most profits would be the ones most desired.
Evaluations of 10 times, 12 times, 15 times what a company brings in are crazy and makes no sense. That foolishness doesn’t make mathematical sense.
Apple is still not making enough money. The Macs, they must start to sell those, tens of million per quarter. So they need a compelling story to get all those iPhone users to buy at least a portable macs.
A car, oh man! if it goes 500 miles on a charge or never needs a charge, or gets 150 miles to the gallon of fuel, big enough for a fat American family, we are over weight and tall, and cost no more than 7000 dollars, ok, build a car.
Oh, so what would be enough? 100 billion in profit per quarter. Paying 80% of the profits out to shareholders. Cars will not get Apple there.
Yet the stock is still down. Wall Street doesn’t get it and never will.