“Apple’s earnings for their last financial quarter came out on Tuesday. I reviewed them here (and talked about the iPad specifically here) but wanted to address something more long term,” Jan Dawson writes for Tech.pinions. “The issue I’d like to talk about is the cyclical nature of Apple’s operating and financial performance and the massive focus on the fourth quarter of the calendar year (Apple’s first quarter) as the driver of the year.”
“Apple’s results are heavily affected by the sales of its hardware products, which in turn have a huge spike in the fourth and to a lesser extent third quarter of each calendar year,” Dawson writes. “Ever since about 2003, the fourth quarter has been significantly bigger than any other quarter. ”
“What’s changed in the last few years is Apple’s timing for its major product launches for the iPhone and iPad.. the dates have moved steadily to the right on the calendar, with the iPhone starting in June and July and shifting to October and then September, and the iPad starting in March and April and shifting to November,” Dawson writes. “At the moment, Apple is both leaving money on the table by under-supplying demand in the fourth quarter and creating a massive lull in sales in the spring and summer. Both could be solved by moving at least some product launches back to other times of the year, and ideally late in the first quarter. Both overall sales and the stock market would be well served by a move away from fall product launches.”
Tons more in the full article – recommended – here.
[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]