Apple shares blast off in after-hours trading on stellar earnings report

In after-hours trading, shares of Apple Inc. (AAPL) rocketed up $9.64, or 5.53% to hit $184.00 on heavy after-hours volume of 6,937,312 shares.

[UPDATE: 5:45pm EDT: AAPL shares are currently up $13.39, or 7.68%, to $187.75 on extremely heavy after-hours trading volume of 12,804,135 shares.]

Apple today bulldozed Street expectations, announcing record financial results for its fiscal 2007 fourth quarter ended September 29, 2007. The Company posted revenue of $6.22 billion and net quarterly profit of $904 million, or $1.01 per diluted share. These results compare to revenue of $4.84 billion and net quarterly profit of $542 million, or $.62 per diluted share, in the year-ago quarter. Gross margin was 33.6 percent, up from 29.2 percent in the year-ago quarter. International sales accounted for 40 percent of the quarter’s revenue.

Apple shipped 2,164,000 Macintosh computers, representing 34 percent growth over the year-ago quarter and exceeding the previous quarterly record for Mac shipments by 400,000. The Company sold 10,200,000 iPods during the quarter, representing 17 percent growth over the year-ago quarter. Quarterly iPhone sales were 1,119,000, bringing cumulative fiscal 2007 sales to 1,389,000.

Ahead of earnings, analysts’ consensus estimates, as surveyed by Thomson Financial, were for Apple will earn $0.86 per share on $6.07 billion in revenue for the quarter, compared to a profit of $0.62 per share on $4.84 billion in revenue in the year ago quarter.

Apple guided above Wall Street expectations for Q1 08: Apple sees revs of $9.2 billion and earnings of about $1.42 per share. The Street consensus was for $8.58 billion in revenue and earnings of $1.39 per share.

MacDailyNews Note: “I am putting a sell on Apple, the company that created the iPhone,” Laura Goldman, investment advisor, LSG Capital, May 21, 2007. AAPL closed at $111.98 that day. At $184, Apple has risen over 64% since Goldman’s “sell” recommendation.

52 Comments

  1. Those are some stellar figures indeed. However, pundits would point out that 1.1 million iPhones do look a bit underwhelming. But the Apple story is always based on the Mac. And profit margins from Macs sure beat those from the iPhone. Time to open that bottle of ’84 Chateau in the cellar.

  2. Dear MDN,

    We feel that it is entirely unfair for you to give credit solely to Laura. True, she did make those now infamous declarations. However, there is a legion of equally inane stock analysts whose combined limited wisdom surpasses even hers. We have consistently predicted (wrongly) the demise of your favorite fruit company. We deserve to be recognized.

    Sincerely,
    Filthy Hacks

  3. Those are some stellar figures indeed. However, pundits would point out that 1.1 million iPhones do look a bit underwhelming.

    Underwhelming? 1.1 million $500-600 (that was the price for all but the last two or three weeks of the quarter, then it was $400) phones in one quarter is underwhelming?

    I’d sure like to sell something so underwhelming.

  4. This puts market capitalisation of Apple solidlz above both IBM and Intel. This is going to be a momentous event tomorrow, when the dust (and the stock price) settles. Unless it settles below $180, Apple’s market cap will for the first time eclipse both companies, and will be well on its way to overtake Google.

  5. The iPhone is only on sale in the U.S. 1.1 million iPhones sold in the US alone in one quarter is phenomenal. The product has only been out since June! It took the iPod more than a year to reach 1 million sold. The iPhone is gonna be huge!

    Just wait till they launch in Europe and Australia, the iPhone numbers will be through the roof.

    As a guy who has my life savings in AAPL, I’m thrilled with these numbers.

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