Mac sales better than feared in April following desktop refresh

Posted:
in Current Mac Hardware edited January 2014
Sales of Apple's Mac line slipped nearly 2 percent on a year-over-year basis during the month of April while iPod sales fell around 9 percent, though both segments are reportedly as good or better than Wall Street's consensus estimates for the quarter.



NPD data released Monday shows Mac sales for the month of April fell 1.8 percent when compared to April of 2008. Gene Munster, an analyst with Piper Jaffray, had been expecting sales to fall off by approximately 10% and therefore saw the results as a positive given uncertainty as to whether Apple could maintain Mac sales strength after pent-up demand for new desktop systems introduced in March began to wane.



Although Munster warned that he'll need to see another two months of data before making a definitive call on Apple's June quarter, he still expects the Cupertino-based company to sell anywhere from 2.1 to 2.3 million Macs, which would represent shrinking yearly Mac unit numbers of anywhere from 16 percent to 8 percent, or a rate that's essentially in line with the Street's expectations of a decline between 10 percent and 7 percent.



Meanwhile, NPD's indication that iPod sales were down 9 percent in April leads Munster to estimate June quarter iPod shipments of approximately 9.5 to 10.5 million units, hovering near Wall Street's consensus. While very likely to be disappointing to a company used to annual growth, the analyst notes this may actually be a positive note for Apple as it allays fears that iPod sales will be particularly weak this spring.



Much of the boost is poised to come from the third-generation iPod shuffle, whose debut in March helped buoy iPod sales during a difficult April. Even so, Munster warns that the $79 player may have simultaneously hurt Apple by lowering the average selling price of an iPod downwards, away from more lucrative iPod nano, classic and touch devices.



The positive news was enough for Piper Jaffray to continue with its high share price target of $180.
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Comments

  • Reply 1 of 43
    sflocalsflocal Posts: 4,614member
    Cue the teckstudian apostles to create some kind of negative spin from this....
  • Reply 2 of 43
    solipsismsolipsism Posts: 25,726member
    Quote:
    Originally Posted by sflocal View Post


    Cue the teckstudian apostles to create some kind of negative spin from this....



  • Reply 3 of 43
    hmurchisonhmurchison Posts: 12,268member
    Only people listening to the "talking head" version of net journalist thought

    Apple was in real trouble.



    It was "netbook this...netbook that" yawn.



    Today the difficulty is in getting decent net info that isn't laced with siren song calls to come visit the site and make our advertisers happy.



    Apple's doing just fine and will continue to do fine as long as they stay a few steps ahead of the competition.
  • Reply 4 of 43
    brucepbrucep Posts: 2,823member
    Quote:
    Originally Posted by hmurchison View Post


    Only people listening to the "talking head" version of net journalist thought

    Apple was in real trouble.



    It was "netbook this...netbook that" yawn.



    Today the difficulty is in getting decent net info that isn't laced with siren song calls to come visit the site and make our advertisers happy.



    Apple's doing just fine and will continue to do fine as long as they stay a few steps ahead of the competition.





    agreed



    miles ahead of competion.

    apple overall quarter may have more total dollars than

    yr ago quarter

    apple is rocking the house

    and i can't wait to see the next big thing .
  • Reply 5 of 43
    cycomikocycomiko Posts: 716member
    Quote:
    Originally Posted by brucep View Post


    agreed



    miles ahead of competion.

    apple overall quarter may have more total dollars than

    yr ago quarter

    apple is rocking the house

    and i can't wait to see the next big thing .



    I hope you are a shareholder, because for most things in life I wouldnt bve pleased providing a business larger margins just for the benefit of somebody else!
  • Reply 6 of 43
    minderbinderminderbinder Posts: 1,703member
    How would a shuffle at $79 lower the average selling price when the shuffle it replaced was $49?
  • Reply 7 of 43
    jeffdmjeffdm Posts: 12,946member
    Quote:
    Originally Posted by cycomiko View Post


    I hope you are a shareholder, because for most things in life I wouldnt bve pleased providing a business larger margins just for the benefit of somebody else!



    I think you might be strawmanning brucep's statement. But it's not such a bad thing to want the company to stay strong, if you like the product and it does well by you. I think better than the people that seem to be offended that Apple makes a profit, that Apple dares to try to make a profit despite the industry's troubles.
  • Reply 8 of 43
    solipsismsolipsism Posts: 25,726member
    Quote:
    Originally Posted by minderbinder View Post


    How would a shuffle at $79 lower the average selling price when the shuffle it replaced was $49?



    I think he meant the new design, capacity and features over the 2 year old 2G Suffle style may have pushed buys to get it instead of the higher priced devices. However, I don?t know how anyone would consider a Touch or Classic along with the Shuffle. The Mini, perhaps a few , but I think people know which device will suit their needs most. Having no screen is a deal killer for many right off the bat.



    PS: Did Apple?s profit go up with this new device?s higher price, or is it balanced by higher costs.
  • Reply 9 of 43
    dunksdunks Posts: 1,240member
    Quote:
    Originally Posted by minderbinder View Post


    How would a shuffle at $79 lower the average selling price when the shuffle it replaced was $49?



    It lowers the average selling price if it sells in enough quatity that it exceeds the volume of the old shuffle by many times relative to the more expensive models. This could happen presumably because it is new.
  • Reply 10 of 43
    macxpressmacxpress Posts: 4,861member
    Quote:
    Originally Posted by cycomiko View Post


    I hope you are a shareholder, because for most things in life I wouldnt bve pleased providing a business larger margins just for the benefit of somebody else!



    So Apple isn't allowed to make a profit in this economy? You sound like you work for Microsoft or something. Whining because Apple charges too much for its products. And then whines some more people are buying these so called "overpriced" products causing Apple to make a profit when others are laying people off and losing millions of dollars. If you make a good product, people will be willing to pay for it. This is why Apple is succeeding and others just don't get it.
  • Reply 11 of 43
    macxpressmacxpress Posts: 4,861member
    Quote:
    Originally Posted by sflocal View Post


    Cue the teckstudian apostles to create some kind of negative spin from this....



    Quote:
    Originally Posted by cycomiko View Post


    I hope you are a shareholder, because for most things in life I wouldnt bve pleased providing a business larger margins just for the benefit of somebody else!



    There ya go...Amazingly took 1hr for it to happen.
  • Reply 12 of 43
    solipsismsolipsism Posts: 25,726member
    Quote:
    Originally Posted by macxpress View Post


    So Apple isn't allowed to make a profit in this economy?



    Just because a company has a better business model than another company and they?ve planned better than other companies means they should be allowed to make a profit?
  • Reply 13 of 43
    steviet02steviet02 Posts: 594member
    It's funny, people in the forum say these analysts don't know what they are doing. Then when the company slips sales it's seen as a coup because it wasn't as much as the analyst predicted. Interesting...
  • Reply 14 of 43
    walshbjwalshbj Posts: 864member
    Quote:
    Originally Posted by steviet02 View Post


    It's funny, people in the forum say these analysts don't know what they are doing. Then when the company slips sales it's seen as a coup because it wasn't as much as the analyst predicted. Interesting...



    Or maybe it's because analysts say things like
    "Although Munster warned that he'll need to see another two months of data before making a definitive call on Apple's June quarter,"

    Give me another two months of data and I'll be able to tell you how the quarter looks too! Think of the definitive call Munster can make after the conference call...



    (400 posts !)
  • Reply 15 of 43
    italiankiditaliankid Posts: 279member
    Mac sales down.

    iPod and iPhone sales down.



    OUCH!



    Apple will have a hard time selling millions of iPhone's if they continue the poor QC of the iPhone 3G.
  • Reply 16 of 43
    steviet02steviet02 Posts: 594member
    Quote:
    Originally Posted by walshbj View Post


    Or maybe it's because analysts say things like
    "Although Munster warned that he'll need to see another two months of data before making a definitive call on Apple's June quarter,"

    Give me another two months of data and I'll be able to tell you how the quarter looks too! Think of the definitive call Munster can make after the conference call...



    (400 posts !)



    You missed my point, it's not that they know what they are talking about, it's the fact that everyone complains about them and then uses their data to validate a companies numbers. Strange phenomenon really.
  • Reply 17 of 43
    brucepbrucep Posts: 2,823member
    Quote:
    Originally Posted by JeffDM View Post


    I think you might be strawmanning brucep's statement. But it's not such a bad thing to want the company to stay strong, if you like the product and it does well by you. I think better than the people that seem to be offended that Apple makes a profit, that Apple dares to try to make a profit despite the industry's troubles.



    HELLO ? WHAT DOES strawmanning mean ??

    thank you .



    peace
  • Reply 18 of 43
    walshbjwalshbj Posts: 864member
    Quote:
    Originally Posted by steviet02 View Post


    You missed my point, it's not that they know what they are talking about, it's the fact that everyone complains about them and then uses their data to validate a companies numbers. Strange phenomenon really.



    Yeah, I did miss that. Unfortunately, the analysts are a significant part of the system so we can't ignore them. And some are buffoons - it's practically impossible not to bash those particular analysts. Buffoons at best, criminals at worst...



    But I definitely see your point.
  • Reply 19 of 43
    brucepbrucep Posts: 2,823member
    edit out see below sorry
  • Reply 20 of 43
    solipsismsolipsism Posts: 25,726member
    Quote:
    Originally Posted by brucep View Post


    so from 4 billion to 19 billion dollars

    going froma good computer exp to a great rock solid no crash no virus experience

    OSX software migrating to mobile me and iphone and ak



    Was that $4B in cash or a value as a company of $4B?



    BTW, they have $29B in cash right now and a marketcap of $113B. By comparison Micorsoft?s marketcap is $183B.
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