Apple today announced financial results for its fiscal 2006 third quarter ended July 1, 2006. The Company posted revenue of $4.37 billion and a net quarterly profit of $472 million, or $.54 per diluted share. These results compare to revenue of $3.52 billion and a net profit of $320 million, or $.37 per diluted share, in the year-ago quarter. Gross margin was 30.3 percent, up from 29.7 percent in the year-ago quarter. International sales accounted for 39 percent of the quarter’s revenue.
Apple shipped 1,327,000 Macintosh computers and 8,111,000 iPods during the quarter, representing 12 percent growth in Macs and 32 percent growth in iPods over the year-ago quarter.
“We’re thrilled with the growth of our Mac business, and especially that over 75 percent of the Macs sold during the quarter used Intel processors. This is the smoothest and most successful transition that any of us have ever experienced,” said Steve Jobs, Apple’s CEO, in the press release. “In addition, iPod continued to earn a US market share of over 75 percent and we are extremely excited about future iPod products in our pipeline.”
“We’re very pleased to report the second highest quarterly sales and earnings in Apple’s history, resulting in year-over-year revenue growth of 24 percent and earnings growth of 48 percent,” said Peter Oppenheimer, Apple’s CFO, in the press release. “Looking ahead to the fourth quarter of fiscal 2006, we expect revenue of about $4.5 to $4.6 billion. We expect GAAP earnings per diluted share of about $.46 to $.48, including an estimated $.03 per share expense impact from non-cash stock-based compensation, translating to non-GAAP EPS of about $.49 to $.51.”
Analysts surveyed by Thomson First Call estimated that Apple would earn 44 cents a share on $4.4 billion in revenue.
MacDailyNews Take: Good news from Apple. Very strong Mac sales and very strong earnings per share. Conservative guidance as usual.
MacDailyNews Note: Stay tuned for Apple Computer, Inc.’s FY 06 Third Quarter Results Conference Call, scheduled for Wednesday, July 19, 2006, 2:00 p.m. PDT/5:00 p.m. EDT. As usual, MacDailyNews will provide live notes throughout the duration of the conference call here: Apple Q3 2006 Conference Call notes
Apple will provide live audio streaming of its FY 06 Third Quarter Results Conference Call utilizing Apple’s industry-leading QuickTime multimedia software. The live audio webcast will be accessible through Apple’s web site at: http://www.apple.com/quicktime/qtv/earningsq306/
Update: 4:56pm EDT: Apple Computer shares have surged 7.7% to $58.25 in after hours trading on heavy volume.
Related articles:
‘Fantastic quarter’ helps Apple double share of U.S. retail notebook market to 12% – July 19, 2006
Apple Q3 2006 Conference Call notes – July 19, 2006
Those are very good solid numbers, but certainly not numbers that will blow anyone away like Motley Fool was predicting earlier.
Great news. Now watch the stock tank.
eh.
Next quarter, maybe.
Wake me up then.
So how many PeeCees did Dell ship this quarter?
Boooo-Yahhhh!!!
Real-Time ECN: 57.82
+3.72 (6.88%)
Jul 19, 4:52PM EDT
Second that Booooo-Yahhhhhhh!
Just crossed $58 in AH!
Wooooooooooooo Hoooooooo!
Two+ years of Apple Numbers
Quarter – iPods —- Macs — Desktops – Laptops
Q3 04 – 860000 —— 876000 — 416000 – 460000
Q4 04 – 2016000 —– 836000 — 385000 – 451000
Q1 05 – 4580000 —- 1046000 — 623000 – 423000
Q2 05 – 5311000 —- 1070000 — 608000 – 462000
Q3 05 – 6155000 —- 1182000 — 687000 – 495000
Q4 05 – 6451000 —- 1236000 — 602000 – 634000
Q1 06 – 14043000 — 1254000 — 667000 – 587000
Q2 06 – 8526000 —- 1112000 – 614000 – 462000
Q3 06 – 8111000 —- 1327000 – 529000 – 728000
Hopefully that turned out somewhat legible.
All the doomsayers can stick it in their rectal orifices!
BTW, here’s the guidance given for this last quarter (in April):
“Apple Computer, Inc. Issues Q3 Guidance; Revenue Outlook Below Analysts’ Estimates
Apple Computer, Inc. announced that it expects third quarter 2006 revenues of $4.2-$4.4 billion with GAAP earnings of $0.39-$0.43 per share, including an estimated $0.04 per share expense impact from non-cash stock-based compensation, translating to non-GAAP earnings of $0.43-$0.47 per share.”
Let’s hope this quarter’s guidance is as conservative!
Yup, that’s some iPod sales slowdown alright.
Apple is still a failure. Who on earth has one? Almost nobody uses Macs.
You can play with the numbers any way you want, but Windows is the winning horse, and Mac is the loser.
Sorry if the medicine tastes bad, but Apple IS doomed and always has been. It’s dying slowly, but it’s still dying, bleeding cash while the execs cook the books to make things like this SEEM to happen. This year brought the train wreck one step closer. Do you really think there will be any Macs at all in 2008?
Typical Apple UPOD: Under promise over deliver. But hey, I’m a stock so holder so way to go. WOO HOO!
Lies damned lies and statistics,
Did you happen to impersonate a monkey or throw a chair prior to posting your nonsense.
Also take into consideration that some of us are waiting for the Core 2 Duo before buying. The next MBP revision, assuming it includes the C2D, will be mine. Here’s hoping for August…
Okay, I’ll take the troll bait. LDL&S said this:
Sorry if the medicine tastes bad, but Apple IS doomed and always has been. It’s dying slowly, but it’s still dying, bleeding cash while the execs cook the books to make things like this SEEM to happen. This year brought the train wreck one step closer. Do you really think there will be any Macs at all in 2008?
Bleeding cash? You cannot be serious, so I choose to believe you are just trolling. But in case you are not, you are clearly too stupid to justify owning a computer, even a TI/80. There is no evidence other than that Apple is generating cash like an ATM. Cooked books? Again, you must be trolling, but in case you are not, in this post-Enron SOX era of transparency, what evidence do you have? I know: none.
As for your troll question: yes, I do think there will be plenty of Macs in 2008. That you are here suggests that in the dark part of tour puny heart, you fear that is true.
Gross margin was 30.3 percent
Not bad for a “dying” company. Pretty remarkable for a hardware vendor, esp. one who supports their own OS, R&D, and industrial design team.
What’s the margin at “winners” like HP and Dell?
“Apple IS doomed and always has been. It’s dying slowly, but it’s still dying”
Apple has been “dying” since 1976. One damn slow death, no?
I will admit the mid-90’s were scary, and there were indeed shadows of death. But that was a DECADE ago, moron, and so much has changed. Dude, get yourself in touch with the modern world.
“It’s dying slowly, but it’s still dying…This year brought the train wreck one step closer.”
The current holder of that title is Microsoft. Apple knew the troubles they faced in 1996, and did something about in. MS has no clue of the troubles they’re facing in 2006, and it looks like they’re blindly going forward with business as usual (no sales drop = no problems, right?).
I got my sister weaned off of Dell and XP Professional. She told me that her migraine headaches are gone. She said more amazing, the Mac mini using Safari can load any page from the internet in a matter of seconds—not five minutes. XP is is a flawed system full of holes. All the RAM in the Dell was used to start up malware. She said it was an unending battle just to keep her old Dell functioning. I suggested to her using it for target practice. I have a .50 sniper rifle.
Come on, veterans of MDN, you know who “lies damned lies and statistics” is! It’s our old friend (?) Mac Realist! This was a very,very bad day for the ol’ troll, so he’s posting under a different nom de plume this evening to salve what must be an extremely bruised ego.
Poor troll, poor troll, poor troll. (Get back under your rock now.)
12% growth in Mac shipments … and only an 11% growth in the over-all market – a share increase!
What are we up to now, 2.6%?
Narrow that to include only the consumer market and Apple is pushing 8%!
Next quarter we’ll have more MacIntel desktops to tout, and maybe regain market share there. More growth.
Can we say “10% by Vista’s launch”?
Or would that be “10% by Leopard’s launch”?
Either way, that’s about when things are going to start to happen:
– more third-party software
– a noticeable presence in the business world
– a Top Five presence on the charts
Uh … no, I am not predicting the demise of MS or Dell, or even a 10% share of the entire market. Just undeniable progress.
Aride:
My three month old MacIntel iMac takes 28 seconds to start up. All apps are very responsive, but quite slow to shut down.
The same three month old MacIntel iMac takes over a minute to start up Windows XP Professional (no extras at all). All apps are responsive.
My month old HP laptop takes over two minutes to start up Windows XP Professional (with anti-virus and firewall). Most apps are very slow.
If my Windows experience is typical, Apple is a great choice for now and into the future for all users. Now if I can only get Parallels to run the few Windows bits I need, I can ditch the PC for an ideal user experience.
And … will you all please STOP responding to LDLS?
You know his/her comments have no basis in reality. We can’t be certain if LDLS lacks a basis in reality, or if (s)he’s in deep denial, or just talking trash to evoke a response from us. Doesn’t matter. Nothing you can say will get through … though a brick might … and you just may be enabling the underlying disease. Don’t respond and eventually (s)he will go away. Possibly mad. Like any of us would care.
HM, you’d better get a few extras on that MacIntel … like AV and FireWall … before it starts acting like any other Windows system.