Apple profits soar 70% on record sales of 14.1M iPhones, 3.89M Macs
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.
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.
Comments
Now lock the analysts up for the next three months will ya!
?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...
... as always...
AAPL gets hammered after hours...
If you ask the younger generations, "What is Apple?", they will now say "They are a cell phone company".
We still have a few surprises left for the remainder of this calendar year
Who here is not excited about that!
Not sure why RIM is mentioned. Android is the rival now.
those two buffoons running RIM must have angered Steve Jobs. Not smart!
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.
Edit 1711 EDT, whoa, now its down $19.68, I reckon that *is* getting hammered. Oh, well, I reckon I'm still up $60.
... and...
... as always...
AAPL gets hammered after hours...
Yeah, it's down $0.10! (Trading currently halted)
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) : )
... 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.
AAPL gets hammered after hours ...
after hours trading figures could be the result of profit taking.
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.
Pretty amazing.
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!
after hours trading figures could be the result of profit taking.
Yep, it never fails. It will recover over the next few days.
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'
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.
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.