MacDailyNews Note: After-hours trading in Apple shares was halted just ahead of the earnings release. Trading will resume at 4:50 pm ET.
Apple sold 3.89 million Macs during the quarter, a 27 percent unit increase over the year-ago quarter. The Company sold 14.1 million iPhones in the quarter, representing 91 percent unit growth over the year-ago quarter. Apple sold 9.05 million iPods during the quarter, representing an 11 percent unit decline from the year-ago quarter. The Company also sold 4.19 million iPads during the quarter.
MacDailyNews Take: iPad number seems low. Supply constraints or was there a slack off in demand? We should find out soon enough in the conference call…
“We are blown away to report over $20 billion in revenue and over $4 billion in after-tax earnings—both all-time records for Apple,” said Steve Jobs, Apple’s CEO. “iPhone sales of 14.1 million were up 91 percent year-over-year, handily beating the 12.1 million phones RIM sold in their most recent quarter. We still have a few surprises left for the remainder of this calendar year.”
“We’re thrilled with the performance and strength of our business, generating almost $5.7 billion in cash flow from operations during the quarter,” said Peter Oppenheimer, Apple’s CFO, in the press release. “Looking ahead to the first fiscal quarter of 2011, we expect revenue of about $23 billion and we expect diluted earnings per share of about $4.80.”
Analysts’ consensus estimates called for Apple to report $4.06 EPS on $18.86 billion in revenue. On July 20, 2010, Apple CFO Peter Oppenheimer guided for “revenue of about $18 billion” and “diluted earnings per share of about $3.44.”
MacDailyNews Note: Stay tuned for live notes from Apple’s Q410 conference call (check our home page at 4:55pm).
Microsoft reports next week. Many expect this will be the first quarter in which they will report lower numbers than Apple.
And AAPL follows its traditional path on quarterly report, tanking 5% on lower-than-expected guidance. Everyone decided they had a healthy run from the prior report and want to cash out some. They’ll be back in few weeks, though, and we’ll be setting ourselves up for the same pattern.
I expect the iPad is suffering because it doesn’t run OS X… it must put legions of Mac users off buying. I suspect this is what is behind the Air revamp… that vital netbook market is proving a tough and elusive one for Apple to break into.
I expect the iPad is suffering because it doesn’t run OS X… it must put legions of Mac users off buying. I suspect this is what is behind the Air revamp… that vital netbook market is proving a tough and elusive one for Apple to break into.
As usual, the market is punishing Apple for some perceived miss on GMs and iPads.
As usual, the market is punishing Apple for some perceived miss on GMs and iPads.
P/E looks fantastic at $318 per share. Apple just had a quarter that would beat several years put together earlier in the decade.
Consider year-over-year increases of 66.5% in revenue and 67.5% in earnings per diluted share, and the iPhone was already going strong with the 3GS last year. Consider $4.31B in net quarterly profit added to Apple’s hoard of cash and short term securities. Consider the spread of the iPad (and, soon, iPhone 4) to Verizon and other U.S. providers. Consider the continued penetration of international markets. And thing long term, fellow Apple users and investors. Think long term.
P/E looks fantastic at $318 per share. Apple just had a quarter that would beat several years put together earlier in the decade.
Consider year-over-year increases of 66.5% in revenue and 67.5% in earnings per diluted share, and the iPhone was already going strong with the 3GS last year. Consider $4.31B in net quarterly profit added to Apple’s hoard of cash and short term securities. Consider the spread of the iPad (and, soon, iPhone 4) to Verizon and other U.S. providers. Consider the continued penetration of international markets. And thing long term, fellow Apple users and investors. Think long term.
@ Twenty Benson
I hope you’re joking.
@ Twenty Benson
I hope you’re joking.
Record 20 billion in earnings and the stock drops 16 bucks.
told ya.
Record 20 billion in earnings and the stock drops 16 bucks.
told ya.
Yeah, sadly it follows the old pattern. But the pattern also says that in a few days it’ll come right back. Tomorrow will be a lot more telling than tonight.
Yeah, sadly it follows the old pattern. But the pattern also says that in a few days it’ll come right back. Tomorrow will be a lot more telling than tonight.
@ R2
I expected you to drive off a bridge last night. I am also hugely disappointed.
@ R2
I expected you to drive off a bridge last night. I am also hugely disappointed.
sucks you’re a chump.
sucks you’re a chump.
As C1 can tell you, the problem is not with with iPad OS. Actually, the reason it does work so well is because Apple is the only involved company throughout the whole process. That is why “it just works”. Unfortunately, once you step outside and have to deal with some one else, the problems arise. I speak specifically of having to deal with AT&T. You are tied to their data and pricing plan. I know wi-fi is free but i’m not always near a starbucks or mcdonalds. This is outside of Apples’ control and the reason people have been waiting for the verizon alternative.
@C1. I hope I can call you C1 after so long.
As C1 can tell you, the problem is not with with iPad OS. Actually, the reason it does work so well is because Apple is the only involved company throughout the whole process. That is why “it just works”. Unfortunately, once you step outside and have to deal with some one else, the problems arise. I speak specifically of having to deal with AT&T. You are tied to their data and pricing plan. I know wi-fi is free but i’m not always near a starbucks or mcdonalds. This is outside of Apples’ control and the reason people have been waiting for the verizon alternative.
@C1. I hope I can call you C1 after so long.
Tone it down girl… I expect better from you even if R2 is a twerp
Tone it down girl… I expect better from you even if R2 is a twerp
Where’s your sense of humor?
Where’s your sense of humor?
Apple grew 66% in the last year, that is a staggering amount for a company with such a large market cap.
Apple grew 66% in the last year, that is a staggering amount for a company with such a large market cap.