SAN FRANCISCO—Apple Inc. Wednesday posted first quarter results that beat consensus analysts' expectations and said it sold a record number of iPhones during the quarter. But the company reported selling fewer iPads than analysts expected, possibly due to supply chain issues related to the March 11 earthquake in Japan.
Apple (Cupertino, Calif.) reported record second quarter revenue of $24.67 billion, a decrease of 8 percent compared with the fourth quarter of 2010, but up nearly 83 percent compared with the first quarter of 2010. The company reported a record second quarter net profit of $5.99 billion, or $6.40 per diluted share, flat with the previous quarter and up 95 percent compared to the year-ago quarter.
Apple said its gross margin for the quarter was 41.4 percent, down from 41.7 percent in the year-ago quarter.
International sales accounted for 59 percent of Apple's first quarter revenue, the company said.
Consensus analysts' expectations called for Apple to report revenue of $23.34 billion and earnings of $5.36 per share, according to Yahoo Finance.
Apple said it sold a record 18.65 million iPhones in the quarter, representing 113 percent unit growth over the year-ago quarter. The company reported selling 3.76 million Macs during the quarter, a 28 percent unit increase over the year-ago quarter.
Apple sold 9.02 million iPods during the quarter, representing a 17 percent unit decline from the year-ago quarter, the company said.
But Apple said it sold only 4.69 million iPads during the quarter, fewer than analysts had projected in the wake of the high-profile introduction of the second-generation iPad 2. Apple has reportedly faced supply issues with iPad 2 components in the wake of the March 11 earthquake off the coast of Japan.
The Reuters news service reported that Apple chief financial officer Peter Oppenheimer said Apple sold "every iPad 2 we could make." Oppenheimer also told Reuters that demand for iPad 2 was "stunning."
“With quarterly revenue growth of 83 percent and profit growth of 95 percent, we're firing on all cylinders," said Steve Jobs, Apple's CEO, in a statement. Jobs has been on medical leave since January.
Oh, and also beat the crap out of its suppliers for margins. While Apple is happy with its margin that it squeezes out of it suppliers like Foxconn, employees there - Foxconn - are committing suicide because they are losing hope for life.............
Right. That just works............. "You are holding your phone wrong......" is what Steve Jobs said when the iPhone 4 had issues with its antenna. All Apple is good at is making the same things look more fancier and suing the - excuse my language - crap out of its competitors for "looking and feeling" like their products.
This shows what a dedication to quality and innovation can do (provided of course, that the innovation is in a direction that appeals to consumers - iPod, iPhone, iPad, etc., etc.). It is really nice to use a computer or phone or other device that just works. I recall being asked why I would use a Mac when I had the technical expertise to do otherwise - my response was "That is why."
Pretty amazing when the company's only negative was the fact that they couldn't make iPad2's fast enough to meet the demand!
Where are the headlines announcing the Apple overtook Nokia in mobile phone sales revenue this past quarter and is now the #1 mobile phone maker in the world? That's pretty big news!
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