Startling even seasoned investors, Apple Computer soared past analysts estimates with earnings of $295 million for the quarter.
eWeek sums it up: “The success of the consumer music player was the difference. Announced by CEO Steve Jobs in his Tuesday keynote address at Macworld, Apple sold about 4.6 million iPods during the quarter, a more than 500 percent rise over the same period last year.”
Blomberg provides some details: ” Net income leapt to $295 million, or 70 cents a share, in the period that ended Dec. 25, from $63 million, or 17 cents, a year earlier, Cupertino, California-based Apple said in a statement today. Sales rose 74 percent to $3.49 billion. Apple topped its forecast for profit of as much as 42 cents.”
Reuters looks to the future: “”I think this momentum that happened last year is going to continue,” said Owen Fitzpatrick, head of the U.S. Equity Group for Deutsche Bank Private Wealth Management. “Apple is a name in technology that at least for the next couple of quarters will have the wind at its back.””
Apple shipped 1,046,000 Macintosh units and 4,580,000 iPods during the quarter, representing a 26 percent increase in CPU units and a 525 percent increase in iPods over the year-ago quarter.
“We are thrilled to report the highest quarterly revenue and net income in Apple’s history,” said Steve Jobs, Apple’s CEO. “We’ve sold over 10 million iPods to date and are kicking off the new year with a slate of innovative new products including iPod shuffle, Mac mini and iLife ’05.”
“We’re pleased to report 74 percent revenue growth, 26 percent Mac unit growth and 525 percent iPod unit growth,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the second quarter of fiscal 2005, we expect revenue of about $2.9 billion and earnings per diluted share of about $.40.”
CNET reflects on the Mac impact: “Analysts said the new $499 Mac Mini should help the company convert many of those iPod buyers into Mac users.
“We believe the Mac Mini will increase the percentage of iPod-toting Windows users who purchase a Mac by almost threefold,” Needham analyst Charles Wolf said in a research note ahead of Wednesday’s earnings report.
Mac sales rose significantly last quarter. The company sold 1,046,000 Macs, up 26 percent from last year. Analysts have been projecting a rise for the computer industry as a whole of about 10 percent, meaning that Apple gained a significant share during the quarter. They have been looking for signs that iPod sales are convincing Windows users to buy Macs.”
However you look at it … it’s a great quarter for Apple and the future looks bright.
Murdok | Breaking eBusiness News
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