Apple profits soar 70% on record sales of 14.1M iPhones, 3.89M Macs

Posted:
in General Discussion edited January 2014
Apple said Monday that fourth quarter profits rose more than 70% to $4.31 billion, or $4.64 per diluted share, driven by record sales in three of its four major product categories.



The Cupertino-based company posted record revenue of $20.34 billion and net quarterly profit of $4.31 billion, or $4.64 per diluted share. These results compare to revenue of $12.21 billion and net quarterly profit of $2.53 billion, or $2.77 per diluted share, in the year-ago quarter.



Gross margin was 36.9 percent compared to 41.8 percent in the year-ago quarter. International sales accounted for 57 percent of the quarter?s revenue.



?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. ?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.?



Apple sold a record 3.89 million Macs during the quarter, a 27 percent unit increase over the year-ago quarter. It also sold a record 14.1 million iPhones in the quarter, representing 91 percent unit growth over the year-ago quarter.



In total, the company shipped 9.05 million iPods during the quarter, representing an 11 percent unit decline from the year-ago quarter, as well as 4.19 million iPads, another record quarterly shipment.



?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.?



Apple hold its Q4 2010 financial results conference call beginning at 2:00 p.m. PDT (5:00 PM Eastern) today and AppleInsider will have full coverage.
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Comments

  • digitalclipsdigitalclips Posts: 15,575member
    Awesome. I hear iPad lower than expected. Not sure why RIM is mentioned. Android is the rival now.



    Now lock the analysts up for the next three months will ya!
  • technotechno Posts: 595member
    I can only imagine what the profits will be like when you can walk into a Canadian Apple Store and buy one.
  • macsharkmacshark Posts: 229member
    Quote:
    Originally Posted by AppleInsider View Post


    ?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.?



    Revenue projection for the next quarter is 30% more than the current quarter, but earnings projection stays pretty much the same. This points to significantly lower margin expectation for the Xmas quarter. The only explanation I can think of is that Apple plans to sell significantly more iPods in the Xmas quarter and iPods have lower margin than other Apple products...
  • island hermitisland hermit Posts: 6,217member
    ... and...



    ... as always...



    AAPL gets hammered after hours...
  • noexpectationsnoexpectations Posts: 481member
    3 years ago we were all impressed with 1 million iPhones in a quarter....now it's at 14 million!



    If you ask the younger generations, "What is Apple?", they will now say "They are a cell phone company".
  • paulmjohnsonpaulmjohnson Posts: 1,376member
    Quote:
    Originally Posted by AppleInsider View Post


    We still have a few surprises left for the remainder of this calendar year



    Who here is not excited about that!
  • applestudapplestud Posts: 367member
    Quote:
    Originally Posted by digitalclips View Post


    Not sure why RIM is mentioned. Android is the rival now.



    those two buffoons running RIM must have angered Steve Jobs. Not smart!
  • originalgoriginalg Posts: 374member
    Quote:
    Originally Posted by macshark View Post


    Revenue projection for the next quarter is 30% more than the current quarter, but earnings projection stays pretty much the same. This points to significantly lower margin expectation for the Xmas quarter. The only explanation I can think of is that Apple plans to sell significantly more iPods in the Xmas quarter and iPods have lower margin than other Apple products...



    Apple's projections are notoriously low. Like unbelievably low. Many people have asked them why they even bother. Their response has always been "we give a number we feel comfortable we can meet". And of course they blow it out.
  • martimus3060martimus3060 Posts: 50member
    Around $.10 down in after hours trading (as of 1655 EDT) is hardly getting hammered when they were up over $3.00 on the day. There's hardly anything to read in that meager change. Don't worry, be happy!



    Edit 1711 EDT, whoa, now its down $19.68, I reckon that *is* getting hammered. Oh, well, I reckon I'm still up $60.
  • dr millmossdr millmoss Posts: 5,403member
    Quote:
    Originally Posted by island hermit View Post


    ... and...



    ... as always...



    AAPL gets hammered after hours...



    Yeah, it's down $0.10! (Trading currently halted)
  • un_plugun_plug Posts: 24member
    Quote:
    Originally Posted by digitalclips View Post


    Awesome. I hear iPad lower than expected. Not sure why RIM is mentioned. Android is the rival now.!



    RIM is mentioned because they make and sell their phones with OS just like Apple. Android is just the OS, so that would be like comparing apples and oranges (and because it is just an OS on a hundred different handsets it is beating them both) : )
  • aaarrrggghaaarrrgggh Posts: 1,528member
    Quote:
    Originally Posted by island hermit View Post


    ... and...



    ... as always...



    AAPL gets hammered after hours...



    Well... one man's panic is another man's buying opportunity.



    Little disappointed on iPad sales, but blown out of the water by iPhone sales which more than compensate. Glad I sold half of my November calls during regular hours.
  • emacs72emacs72 Posts: 356member
    Quote:
    Originally Posted by island hermit View Post


    AAPL gets hammered after hours ...



    after hours trading figures could be the result of profit taking.
  • digitalclipsdigitalclips Posts: 15,575member
    Quote:
    Originally Posted by un_plug View Post


    RIM is mentioned because they make and sell their phones with OS just like Apple. Android is just the OS, so that would be like comparing apples and oranges (and because it is just an OS on a hundred different handsets it is beating them both) : )



    That's an interesting interpretation for the reason. By that logic Macs can not be compared to any PC out there.
  • paulmjohnsonpaulmjohnson Posts: 1,376member
    I've just read that Apple has generated more revenue in this quarter than Google has for the whole of 2010!



    Pretty amazing.
  • bagmanbagman Posts: 349member
    If you believe forward earnings of ~$5.00/share/quarter, then $20 x 20 PE = $400. While some may argue that a 20 PE may be optimistic, it is below current PE of ~23 (and below Google's PE of ~24). Can Apple continue to achieve approximately 20% growth, year over year? (methinks they can indeed).



    With all the overseas and domestic outlet sales increases in the next year, not to mention upgrades by everyone owning apple products, I don't see how Apple can help but achieve the above results. And all this in a global recessionary period. Impressive, to say the least!
  • digitalclipsdigitalclips Posts: 15,575member
    Quote:
    Originally Posted by emacs72 View Post


    after hours trading figures could be the result of profit taking.



    Yep, it never fails. It will recover over the next few days.
  • digitalclipsdigitalclips Posts: 15,575member
    Quote:
    Originally Posted by Bagman View Post


    If you believe forward earnings of ~$5.00/share/quarter, then $20 x 20 eps = $400. With all the overseas and domestic outlet sales increases in the next year, not to mention upgrades by everyone owning apple products, I don't see how Apple can help but achieve the above results. And all this in a global recessionary period. Impressive, to say the least!



    It's 'Magic'
  • dr millmossdr millmoss Posts: 5,403member
    Quote:
    Originally Posted by digitalclips View Post


    Yep, it never fails. It will recover over the next few days.



    It often fails. I've held this stock for 13 years, so I know.
  • digitalclipsdigitalclips Posts: 15,575member
    Quote:
    Originally Posted by PaulMJohnson View Post


    I've just read that Apple has generated more revenue in this quarter than Google has for the whole of 2010!



    Pretty amazing.



    Google has a strange business model to be sure. I am pretty sure they could have charged for their OS and still sold just as many.
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