Apple shares rocketed over 12%, up $7.00, to $61.10 in pre-market trading after the Cupertino Mac- and iPod-maker reported fiscal third-quarter earnings that rose 48% and topped Wall Street expectations, helped by a better-than-anticipated gross margin performance.
Apple reported the second highest quarterly sales and earnings in the company’s history.
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.
Looking ahead to Q4 06, Apple expects revenue of between $4.5 to $4.6 billion.
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
Apple reports third quarter results: $0.54 per share on $4.37 billion in revenue – July 19, 2006
With numbers like these, it will be great to see how a refreshed iMac, intel-based pro machines and a universal binary of Adobe products will impact sales.
B B B B BOOOOOOOOOOOOYAHHHHHHHHHHHH!
MW=”special”
Special day indeed!
About time the stock actually went UP on good news!
Apple actually missed on the revenues, am i the only one who noticed that?
Waiting now for the harbingers of bad mouth to demonstrate their ability to drive stock down.
Can any of you analysts comment, regarding the doom & gloom news they were all predicting………………………..
or were you talking about the next 1/4 thats all doom & gloom…………
I guess you can’t be right every time, but it’s peoples money you’re dealing with & a lot of people probaly sold their stock at a loss with what you said about AAPL
stupid n00b analysts…
Apple did not “miss” on the revenues, they were inline with expectations.
They really delivered on profits, however, which exceeded the consensus estimate.
But what is really driving the stock up is the fact that Mac sales were so strong in what should have been a weak quarter. Even iPod sales were healthy despite all the moaning about the lack of new models.
Next quarter, Apple will have completed the Intel transition. There will be new pro desktops, new pro notebooks, probably refreshed iMacs and MacBooks. There will be new iPods, with a good possibility of other new devices and services. The past quarter was basically proof that sales will go through the roof with all the pieces in place because people are already buying the pieces that Apple does have in place (60% increase in Mac notebooks sales!)
The market is clearly salivating at the prospect and that’s what’s driving the stock up.
You see it’s all about money.
We have it and most of you don’t for a reason.
It’s quite easy, really. We talk down stock for a company that’s poised to reap massive profits, like AAPL, in order to lower the price for our clients and ourselves. Then we buy large quantities.
Enough suckers believe us that it actually works. Come to Manhattan and listen to us joke and laugh about it at certain exclusive drinking establishments.
Anyway, after the health of the company becomes plainly evident via earnings reports, we make a killing by selling the stock and than get “concerned” again about whatever we feel like making up – falling iPod sales, Microsoft iPod “killer” (that’s ones really good for a laugh), or whatever.
So, we talk down stock for a company that’s poised to reap massive profits, like AAPL, in order to lower the price for our clients and ourselves. Then we buy large quantities.
Enough suckers believe us that it actually works. Come to Manhattan and listen to us joke and laugh about it at certain exclusive drinking establishments.
Anyway, after the health of the company becomes plainly evident via earnings reports, we make a killing by selling the stock and than get “concerned” again about whatever we feel like making up – falling iPod sales, Microsoft iPod “killer” (that’s ones really good for a laugh), or whatever.
So, we talk down stock for a company that’s poised to reap massive profits, like AAPL, in order to lower the price for our clients and ourselves. Then we buy large quantities.
Enough suckers believe us that it actually works. Come to Manhattan and listen to us joke and laugh about it at certain exclusive drinking establishments.
Anyway, after the health of the company becomes plainly evident via earnings reports, we make a killing by selling the stock and than get “concerned” again about whatever we feel like making up – falling iPod sales, Microsoft iPod “killer” (that’s ones really good for a laugh), or whatever.
Ad infinitum.
You see it’s all about money.
We have it and most of you don’t for a reason.
Here’s hoping all the ‘short’ sellers took it in the ‘shorts.’
Wow, didn’t they see Oppenheimer poo-poohed the earnings outlook going forward? That usually kills the momentum.
Oppenheimer always poo-poohs the earnings outlook going forward. I think they’re wise to that now and they discount the overly conservative outlook. Apple will probably obliterate it and book over $5 bln revenue in Q4 06.
hmmm…do I cash in sooner than latter. Cashing in sooner = 1972 Plymouth Duster 340. Cashing in latter = 2009 Dodge Challenger w/ a hemi. In reality, all I care is that the price goes up.
Right on, broker
In at $52
Probably get out at $65
You see, there’s being a Mac zealot… then there’s being a shrewd investor. These are not mutually exclusive, as some around here evidently beleive when the topic turns to AAPL shares.
We all know Apple is not doomed, will continue to earn healthy profits quarter after quarter and has HUGE upside.
But the market is the market, and I like money.
Note that the MacBook was announced on May 5, 2006. So there was not a full quarters worth of sales. This quarter will be the big one for back to school sales. I expect really big numbers when Steve shocks the anal-ists again in October. The switching is firing up and AAPL is rising above the launch pad.
Beforehand, the analysts all pontificated about what Apple’s Earnings Per Share might be, mostly predicting an EPS of between $.39 and $.43. In reality, the EPS turned out to be $.54. It was more than 25% above even those highest estimates and 38% above the low ones.
Today, Rhys Blakely in the ( London ) Times reckons that Apple’s profits were “a shade better than average analyst forecasts”.
If an error of between 25% and 38% equates to just a shade, how much of an error do the analysts need to make before they are denounced as totally useless ?
The thing that amazed me was that Apple sold 750K of notebooks. That’s amazing and only the tip of the iceberg.
Maybe in the next two quarters with school purchases and the MacPro being released we’ll see 1M notebooks and 1M desktops per quarter. The PowerMac are probably over selling 100K at the moment and there is a pent up demand for new Pro machine even if Photoshop isn’t universal yet.
If broker was really all that good, he wouldn’t even have to work. He’d be sunning himself on his 150′ yacht or jetting around the world.
Give me a break !! If you were all that hot, you wouldn’t be wasting your time posting on this site.
You are a joke but….you do like to sip a cocktail at exclusive drinking establishments.
Ad infinitum.
Apple huggers are pathetic, they are sick ill retarded n1ggerz
oh i also heard steve jubz likes micheal jackson’s penis
and fries poop in the oil.
Well, I’m glad to have been wrong. A couple of weeks ago I predicted that the stock price would fall after the conference call. It has for years. One has to depend on history sometimes. However, as noted above, finally the right thing happened, and the price rose on a great report.
Happily, I did get one part of my prediction correct:
Apple is worth more than Dell again this morning.
Michael: Why don’t you sell the company, and give the money back to the shareholders?
Actually, Broker is quite right, sadly. Investing requires absolute discipline and impassivity and detachment to a stock. Maczealots won’t sell at the proper time because their emotions are too invested in the company rather then in their profit. And so it goes.
this is the down cycle folks – go all-in now, sell at 75… wash, rinse, repeat.
why get out at 75 when bigger numbers seem plausible?
bulls make money, bears make money, pigs get eaten.
btw… typing this from my 96′ yacht, 60 miles off the Seychelles.