Apple reports earnings of $7.5B on sales of 33.8M iPhones, 14.1M iPads & 4.6M Macs
Apple said Monday that fourth-quarter profits slipped roughly 8.5 percent to $7.5 billion, or $8.26 per diluted share, on revenues of $37.5 billion -- better than most Wall Street analysts had been anticipating.
The results compare to revenue of $36 billion and net profit of $8.2 billion, or $8.67 per diluted share, in the year-ago quarter. Gross margin came in at 37 percent compared to 40 percent in the year-ago quarter. International sales accounted for 60 percent of the quarter's revenue.
Apple sold 33.8 million iPhones, a record for the September quarter, compared to 26.9 million in the year-ago quarter. It also sold 14.1 million iPads during the quarter, compared to 14 million in the year-ago quarter. Mac sales came in at 4.6 million, down slight from 4.9 million in the year-ago quarter.
"We're pleased to report a strong finish to an amazing year with record fourth quarter revenue, including sales of almost 34 million iPhones," said Apple Chief Executive Tim Cook. "We're excited to go into the holidays with our new iPhone 5c and iPhone 5s, iOS 7, the new iPad mini with Retina Display and the incredibly thin and light iPad Air, new MacBook Pros, the radical new Mac Pro, OS X Mavericks and the next generation iWork and iLife apps for OS X and iOS."
On average, Wall Street analysts were expecting Apple to report earnings of $7.93 per share on revenue of $36.84 billion, driven largely by sales of roughy 31 million iPhones, 14.5 million iPads and 4.6 million Macs.
Apple's Board of Directors has declared a cash dividend of $3.05 per share of the Company's common stock, payable on November 14, 2013, to shareholders of record as of the close of business on November 11, 2013.
"We generated $9.9 billion in cash flow from operations and returned an additional $7.8 billion in cash to shareholders through dividends and share repurchases during the September quarter, bringing cumulative payments under our capital return program to $36 billion," added Apple Chief Financial Officer Peter Oppenheimer.
Apple provided the following guidance for its fiscal 2014 first quarter:
The results compare to revenue of $36 billion and net profit of $8.2 billion, or $8.67 per diluted share, in the year-ago quarter. Gross margin came in at 37 percent compared to 40 percent in the year-ago quarter. International sales accounted for 60 percent of the quarter's revenue.
Apple sold 33.8 million iPhones, a record for the September quarter, compared to 26.9 million in the year-ago quarter. It also sold 14.1 million iPads during the quarter, compared to 14 million in the year-ago quarter. Mac sales came in at 4.6 million, down slight from 4.9 million in the year-ago quarter.
"We're pleased to report a strong finish to an amazing year with record fourth quarter revenue, including sales of almost 34 million iPhones," said Apple Chief Executive Tim Cook. "We're excited to go into the holidays with our new iPhone 5c and iPhone 5s, iOS 7, the new iPad mini with Retina Display and the incredibly thin and light iPad Air, new MacBook Pros, the radical new Mac Pro, OS X Mavericks and the next generation iWork and iLife apps for OS X and iOS."
On average, Wall Street analysts were expecting Apple to report earnings of $7.93 per share on revenue of $36.84 billion, driven largely by sales of roughy 31 million iPhones, 14.5 million iPads and 4.6 million Macs.
Apple's Board of Directors has declared a cash dividend of $3.05 per share of the Company's common stock, payable on November 14, 2013, to shareholders of record as of the close of business on November 11, 2013.
"We generated $9.9 billion in cash flow from operations and returned an additional $7.8 billion in cash to shareholders through dividends and share repurchases during the September quarter, bringing cumulative payments under our capital return program to $36 billion," added Apple Chief Financial Officer Peter Oppenheimer.
Apple provided the following guidance for its fiscal 2014 first quarter:
- revenue between $55 billion and $58 billion
- gross margin between 36.5 percent and 37.5 percent
- operating expenses between $4.4 billion and $4.5 billion
- other income/(expense) of $200 million
- tax rate of 26.25 percent
Comments
Apple beats estimates, issues solid guidance; shares lower
Lot of Bulltards all across the stock boards makes me think, this stock can tank despite the beat
Its a win-win situation for bulls no matter what the stock does. If it falls, buy more
http://forums.appleinsider.com/t/160434/earnings-preview-apples-sept-quarter-results-are-all-about-iphone-for-wall-street
So basically Wall Street is dumping the stock because margins are down 3% compared to the year ago quarter.
You know this for a fact?
So they managed to hit 4.6 million Mac sales after all.
Egg on my face. Colour me corrected. And impressed.
AAPL p/e got crazy compressed before the run to $700. Same thing happening here. One day it will compress to a stupidly low level and there will be another crazy run. At least that's what I'm holding out for.
So Apple beats estimates and yet they're down over 2% after hours supposedly because of lower margins. Yet I keep reading articles about how Apple needs cheaper iPhones and iPads. How exactly would that increase margins?
They may have beat the estimates but the fact is that **profit** is down. Again. A year-over-year quarter decrease of $700 million is no joke. They need to do something to stop that decreasing **profit**. I'm surprised AAPL is only down 2%.
Edit: Fixed revenue to be profit. My apologies.
So basically Wall Street is dumping the stock because margins are down 3% compared to the year ago quarter. And yet Amazon can have another quarter where they make no money and the stock jumps 9%.
Yes because AAPL is a mature company and revs don't mean as much anymore and important is on margin and how much profit they can generate. AMZN on the other hand, is all about increasing revs right now. Over the next few years, AMZN is the much better investment stock market wise.
They may have beat the estimates but the fact is that revenue is down. Again. A year-over-year quarter decrease of $700 million is no joke. They need to do something to stop that decreasing revenue. I'm surprised AAPL is only down 2%.
Yup. and the problem is their decreasing margins...
They may have beat the estimates but the fact is that revenue is down. Again. A year-over-year quarter decrease of $700 million is no joke. They need to do something to stop that decreasing revenue. I'm surprised AAPL is only down 2%.
Is lying fun? They increased revenues from $36 billion to $37.5 billion, an increase of 4%. What are you talking about?
Yup. and the problem is their decreasing margins...
Margin is not gonna be an easy fix for Apple. They already have some of the highest selling prices and lowest per unit cost in the industry. Already at some serious volumes and have already flexed some muscle over their suppliers. I'm sure some much smarter than I people over at Apple are all over this. I don't think Apple is as stubborn as they appear to be to the public.
Ok how many quarters and years now have we heard the same story about Amazon? Every quarter they post another loss and all the pundits excuse it away saying its about future profits as if Amazon can just flip a switch and the profit spigot will magically start flowing. It's BS.