Apple profits rise 15% on sales of 2.2M Macs, 11M iPods

[AppleInsider]

Apple said Wednesday that second-quarter profits rose more than 15 percent to $1.21 billion, or $1.33 per diluted share, on record non-holiday quarter sales of $8.16 billion for the three-month period ended March 28, 2009.

These results compare to revenue of $7.51 billion and net quarterly profit of $1.05 billion, or $1.16 per diluted share, in the year-ago quarter. Gross margin was 36.4 percent, up from 32.9 percent in the year-ago quarter. International sales accounted for 46 percent of the quarter's revenue.

Apple sold 2.22 million Macintosh computers during the quarter, representing a three percent unit decline from the year-ago quarter. The company also sold 11.01 million iPods during the quarter, representing three percent unit growth over the year-ago quarter. Quarterly iPhone units sold were 3.79 million representing 123 percent unit growth over the year-ago quarter.

"We are extremely pleased to report the best non-holiday quarter revenue and earnings in our history," said Apple chief financial officer Peter Oppenheimer. "Apple's financial condition remains very robust, with almost $29 billion in cash and marketable securities on our balance sheet."

Looking ahead to the third fiscal quarter of 2009, Apple said it expects revenue in the range of about $7.7 billion to $7.9 billion and diluted earnings per share in the range of about $.95 to $1.00."

In accordance with the subscription accounting treatment required by GAAP, Apple recognizes revenue and cost of goods sold for iPhone and Apple TV over their estimated economic lives. Adjusting GAAP sales and product costs to eliminate the impact of subscription accounting, the corresponding non-GAAP measures for the quarter are $9.06 billion of "Adjusted Sales" and $1.66 billion of "Adjusted Net Income."

Apple will provide live streaming of its Q2 2009 financial results conference call utilizing QuickTime. The live webcast will begin at 2:00 p.m. PST today. AppleInsider will provide full coverage.

[ View this article at AppleInsider.com ]

[Hoss]

Sure feels like these guys have a killer surprise up their sleeves still.

[NOFEER]

take that dell, MS and those also ran, the integrated software, hardware model works very well, hey palm what's your balance sheet looks like?
unbelievable and in a down economy, talk about momentum, i think ATT has a few more gifts for SJ to extend the contract.
WOW

[Jimzip]

"... with almost $29 billion in cash and marketable securities on our balance sheet."

I love how they word that ... sounds so formidable! I can't help envisioning a boardroom in some exotic volcano-lair, as Oppenheimer greets investors via video-chat: "Good evening gentlemen"...

Jimzip

[IQatEdo]

Well Done Apple.

Get well Steve.

[jazzguru]

Curious. The trolls are strangely silent. Facts are stubborn things, aren't they?

[sapporobabyrtrns]

Hope this shakes up the market even more to get the other guys off their collective asses and start to really compete. This can only be a win-win for consumers. Hell, I don't mind having a Nokia X-Series and an iPhone or two. At the end of the day its only money.

[AllenKids]

Oh~~~ Microsoft please end your miserable Zune line, quick. For there is no hope.

How can Apple manage to sell this many stupid (or not so stupid) mp3 players in a saturated market is just beyond me...and I'm a Apple fanboi.

Especially with one of the most stupid products Apple ever made - the new shuffle! (According to Techstud & many other pundits)

Bloody murder!!!

[teckstud]

Haha- Love it- as I expected, the good old iPod (Touch) saves the day.
Excellent sales for an excellent product.

[saarek]

Awesome results, but the decline in mac sales is not so good.

[SpamSandwich]

Originally Posted by Hoss

Sure feels like these guys have a killer surprise up their sleeves still.

Even if they don't have a surprise up their sleeves, their smoothing out of their revenue stream with the iTunes store and App Store (in the form of continual impulse sales) has paid off handsomely.

[Sevenfeet]

Normally these would be "ok" or "expected" numbers but considering the economic meltdown, Apple is still crushing it where it counts...on the balance sheet.

What's interesting is that analysts spent a lot of time tracking Mac numbers during the quarter and pretty much nailed the number....2.22 million. But they totally missed the iPhone number by a wide margin. Even iPods went up. Apple's overall gross margins at 36.4% are just stupid ridiculous for a company that sells computer hardware in this day and age.

Apple is pretty much the envy of its competitors right now. Only Cisco has a comparable bank account. In a time where everyone is pulling back, Apple is stepping on the gas.

[Quadra 610]

Another blow-out.

Obviously, though. It's Apple, after all.

Products people actually WANT.

We are extremely pleased to report the best non-holiday quarter revenue and earnings in our history,

Oh, and yet another record.

Holiday, or non-holiday, Apple shines.

[dreyfus2]

Originally Posted by AppleInsider

"We are extremely pleased to report the best non-holiday quarter revenue and earnings in our history,"

Not bad Abramsky, not bad.

[SpamSandwich]

Originally Posted by AllenKids

Oh~~~ Microsoft please end your miserable Zune line, quick. For there is no hope.

How can Apple manage to sell this many stupid (or not so stupid) mp3 players in a saturated market is just beyond me...and I'm a Apple fanboi.

Especially with one of the most stupid products Apple ever made - the new shuffle! (According to Techstud & many other pundits)

Bloody murder!!!

Stupid or not, right now they have an untouchable line-up and business model.

[Quadra 610]

Originally Posted by Sevenfeet

Normally these would be "ok" or "expected" numbers but considering the economic meltdown, Apple is still crushing it where it counts...on the balance sheet.

What's interesting is that analysts spent a lot of time tracking Mac numbers during the quarter and pretty much nailed the number....2.22 million. But they totally missed the iPhone number by a wide margin. Even iPods went up. Apple's overall gross margins at 36.4% are just stupid ridiculous for a company that sells computer hardware in this day and age.

Apple is pretty much the envy of its competitors right now. Only Cisco has a comparable bank account. In a time where everyone is pulling back, Apple is stepping on the gas.

It's what SJ said years ago:

Innovating your way out of the recession.

Oh, and these are numbers WITHOUT Steve Jobs in his usual role. Imagine the confidence this inspires.

[John French]

Well Done Apple.

[David Scubadiver]

I own over 1100 shares of this beautiful company and have been buying all the way down (after losing my shirt on the way up). I am glad to say, I have my shirt back, plus some suits and an entire wardrobe. The only down side is that 2 of my covered calls will be exercised and leave me owning 200 shares less...which is okay since I was a bit overexposed to this stock. Yay. Yay. Yay.

[Quadra 610]

Originally Posted by AllenKids

Oh~~~ Microsoft please end your miserable Zune line, quick. For there is no hope.

How can Apple manage to sell this many stupid (or not so stupid) mp3 players in a saturated market is just beyond me...and I'm a Apple fanboi.

Especially with one of the most stupid products Apple ever made - the new shuffle! (According to Techstud & many other pundits)

Bloody murder!!!

You're clearly, grossly, unequivocally, out of touch with the market.

Stop thinking of yourself, the world doesn't revolve around you. The Shuffle is a game-changer, just like the iPhone, the Touch, you name it.

The bulk of the market does NOT comprise people like you and me. Technophiles who post in tech message forums. It's all about the average user and what's good for them. And you know what, there's a lot to be said for being the average user. Life is easy when it comes to tech.

[walshbj]

Sweet.

[piot]

Originally Posted by teckstud

Haha- Love it- as I expected, the good old iPod (Touch) saves the day.
Excellent sales for an excellent product.

Actually what you expected was

Lackluster number$ would not be surprising

Is there a particular medical reason that you spout crap all of the time?

[AllenKids]

Originally Posted by Quadra 610

You're clearly, grossly, unequivocally, out of touch with the market.

Stop thinking of yourself, the world doesn't revolve around you. The Shuffle is a game-changer, just like the iPhone, the Touch, you name it.

The bulk of the market does NOT comprise people like you and me. Technophiles who post in tech message forums. It's all about the average user and what's good for them. And you know what, there's a lot to be said for being the average user. Life is easy when it comes to tech.

Indeed I am.

And I wholeheartedly acknowledge that as a fact.



Hey you know what? At least I'm not alone LOL

[dreamraj]

Originally Posted by AppleInsider

"We are extremely pleased to report the best non-holiday quarter revenue and earnings in our history,"

Originally Posted by dreyfus2

Not bad Abramsky, not bad.

hahaa

[SpamSandwich]

Originally Posted by David Scubadiver

I own over 1100 shares of this beautiful company and have been buying all the way down (after losing my shirt on the way up). I am glad to say, I have my shirt back, plus some suits and an entire wardrobe. The only down side is that 2 of my covered calls will be exercised and leave me owning 200 shares less...which is okay since I was a bit overexposed to this stock. Yay. Yay. Yay.

Good job. Drop your shorts and go long. Apple has a lot further to go.

[justflybob]

If you live anywhere near an Apple Store, you would soon surmise that these so-called analysts are nothing more than glorified bean counters. Apple's retail platform hasn't missed a beat in how long now? Yet the naysayers seem to spend way too much time listening to people that have a vested interest in seeing the price of Apple shares fall, only to rapidly rise after the quarterly report blows by the "estimates."

Short sellers are the bane of our economy, and the sooner more is down to thwart their self-serving efforts, the better.

Instead of constantly challenging Apple to reveal more and more about Steve Jobs' health, they should have been pushing the SEC to reinstate the "uptick rule."

Ah well, in a perfect world....

[David Scubadiver]

Originally Posted by SpamSandwich

Good job. Drop your shorts and go long. Apple has a lot further to go.

Usually, "Drop your shorts" is followed by "and bend over"

[hittrj01]

Originally Posted by piot

Actually what you expected was




Is there a particular medical reason that you spout crap all of the time?

Haha, well put! teckstud is one of the more annoying posters in these forums. From denouncing the iPhone without ever having owned one to calling the shuffle a failure before it ever even reached stores, to this latest flip-flop on projections for this quarter, he is on quite a roll.

[Virgil-TB2]

Originally Posted by AllenKids

... one of the most stupid products Apple ever made - the new shuffle! ...

Every version of the shuffle Apple ever made was dissed by the pundits and described as "crap" by the tech elite, but every one of them sold like hotcakes and in "stupid-large" volume.

Shuffles also are one of the highest margin products Apple makes, going above their already large margins on their other stuff. So every one sold is more dollars percentage wise than almost anything they make.

[mdriftmeyer]

Originally Posted by AllenKids

Oh~~~ Microsoft please end your miserable Zune line, quick. For there is no hope.

How can Apple manage to sell this many stupid (or not so stupid) mp3 players in a saturated market is just beyond me...and I'm a Apple fanboi.

Especially with one of the most stupid products Apple ever made - the new shuffle! (According to Techstud & many other pundits)

Bloody murder!!!

200 Million estimated iPods sold in a 6.5 Billion person world where a large portion of those 200 Million own 2 or 3 iPods through the generation should give you a clue that the real number of unique owners is < 100 Million and Apple has a lot of potential buyers out there, myself included.

[AllenKids]

Originally Posted by mdriftmeyer

200 Million estimated iPods sold in a 6.5 Billion person world where a large portion of those 200 Million own 2 or 3 iPods through the generation should give you a clue that the real number of unique owners is < 100 Million and Apple has a lot of potential buyers out there, myself included.

The thing is the over all PMP market is actually shrinking IIRC.

That's why I poked fun at Zune in my first reply.

[SpamSandwich]

Originally Posted by David Scubadiver

Usually, "Drop your shorts" is followed by "and bend over"

Not this time.

[AllenKids]

Originally Posted by Virgil-TB2

Every version of the shuffle Apple ever made was dissed by the pundits and described as "crap" by the tech elite, but every one of them sold like hotcakes and in "stupid-large" volume.

Shuffles also are one of the highest margin products Apple makes, going above their already large margins on their other stuff. So every one sold is more dollars percentage wise than almost anything they make.

Tell me about it!

Despite my strong recommendation of the touch, my nephew go ahead bought the new shuffle & lost it in 2 weeks only to bug his mother to death and got himself another one.

Ah~~~There is nothing I can do about it that's for sure.

[mdriftmeyer]

Originally Posted by AllenKids

Tell me about it!

Despite my strong recommendation of the touch, my nephew go ahead bought the new shuffle & lost it in 2 weeks only to bug his mother to death and got himself another one.

Ah~~~There is nothing I can do about it that's for sure.

In your case, he's money ahead. What are the odds he would have lossed the Touch? His mother would be more money in the hole losing that one.

[mdriftmeyer]

Originally Posted by AllenKids

The thing is the over all PMP market is actually shrinking IIRC.

That's why I poked fun at Zune in my first reply.

It's not shrinking. They are claiming it's shrinking, when in fact, it will go through another pop when the upcoming kids [now too young to own one] will want one. They won't want their brother or sister's knock-offs. They'll want the next generation.

Unlike the original Sony Walkman, we aren't switching to a non-digital platform [digital in their case from analogue/tape]. We are in this world and will grow in it.

[AllenKids]

Originally Posted by mdriftmeyer

In your case, he's money ahead. What are the odds he would have lossed the Touch? His mother would be more money in the hole losing that one.

Well, this time he clip it on the right leg of his glasses which looks ridiculous but so long he don't lose it, his mother will restrain herself from commenting on it. >_<

In my case, his mother should just get him a ugly as hell sansa clip for $30 knowing freakishly small gadget do tend to get lost a lot more by a teenager.

[wizard69]

In another thread, maybe another forum, I hit this squarely on the head. To bad I don't have the cash to invest.

Apple is doing a bang up job with the iPods and iPhone's. I'm still very concerned about the mac line up though. I don't honestly believe the the regression in sales here has anything to do withthe economy. Instead it is an issue of crap hardware, or in some cases no competitive hardware.

As a side note they do have exposure with respect to the iPod line up. They need a high capacity flash based model optimized for video and net usage real soon now. Call it Newton 2 or what ever you desire but Touch isn't the answer to every need. Not to hammer away but it needs to have that paperback novel format, that is stretched slightly for HD.

So while it looks good now Apple needs new product fast and it needs to go back and address the iMac screw up. Sure the quarter is healthy but so is the competitions investment in product development.


Dave

[AllenKids]

Originally Posted by mdriftmeyer

It's not shrinking. They are claiming it's shrinking, when in fact, it will go through another pop when the upcoming kids [now too young to own one] will want one. They won't want their brother or sister's knock-offs. They'll want the next generation.

Unlike the original Sony Walkman, we aren't switching to a non-digital platform [digital in their case from analogue/tape]. We are in this world and will grow in it.

Interesting input.

If you have some data to back it up, that would be very helpful.

The "industry consensus" (what a wonderful term!) main concern about PMP is the increasing numbers of capable smartphone among other convergence devices (another buzz word) will render a separate player unnecessary.

Beside iPod touch, I tend to agree with this observation.

[melgross]

Originally Posted by wizard69

In another thread, maybe another forum, I hit this squarely on the head. To bad I don't have the cash to invest.

Apple is doing a bang up job with the iPods and iPhone's. I'm still very concerned about the mac line up though. I don't honestly believe the the regression in sales here has anything to do withthe economy. Instead it is an issue of crap hardware, or in some cases no competitive hardware.

As a side note they do have exposure with respect to the iPod line up. They need a high capacity flash based model optimized for video and net usage real soon now. Call it Newton 2 or what ever you desire but Touch isn't the answer to every need. Not to hammer away but it needs to have that paperback novel format, that is stretched slightly for HD.

So while it looks good now Apple needs new product fast and it needs to go back and address the iMac screw up. Sure the quarter is healthy but so is the competitions investment in product development.


Dave

Well, our next big pop will come during the morning of the ADC in early June.

Let's hope the innovation in the new iPhone/iTouch can continue the momentum upwards.

Apple's right though, the app store is the biggest part of all this, esp for the iTouch.

Also having over 37 million capable game machines out there is surely worrying Sony's PSP division, and even Nintendo's DS people. I believe they've sold 100 million. How many of them are still around?

[r00fus]

Originally Posted by melgross

Well, our next big pop will come during the morning of the ADC in early June.

Let's hope the innovation in the new iPhone/iTouch can continue the momentum upwards.

Apple's right though, the app store is the biggest part of all this, esp for the iTouch.

Also having over 37 million capable game machines out there is surely worrying Sony's PSP division, and even Nintendo's DS people. I believe they've sold 100 million. How many of them are still around?

I have a DS but don't use it anymore... all my "casual" gaming is done on the iPhone.

This might be the missed story of the day:
Nintendo's numbers dropped due to weak Wii and DS sales... I wonder if the people who would have bought DS's went looking at the iPhone/iPod Touch and bought it instead?

Especially with the killer app-store, now Nintendo's playing catch-up with their online game store and the DSi (which has been given a moderate good review, but nothing stellar).

[Gyokuro]

No surprises here, but can you imagine the raucous homecoming SJ will have if he steps onto the stage in June. I get fanboy chills thinking about it.