Apple Inc announced financial results for its fourth quarter of the fiscal year 2011, ended September 24,2011. The company reported a net profit of $6.62 billion, a marginal decline compared to last quarter’s profits of $7.31 billion, but a growth of 53.6% compared to profits of $4.31 billion, in the year-ago quarter. The company’s quarterly revenue rose to $28.27 billion in the quarter, an increase of 38.99% compared to $20.34 billion that it reported in the same quarter, last year. International sales accounted for 63 percent of the quarter’s revenue.
– iPhones: 17.07 million sold during the quarter, up 21% year on year. Previous quarter, Apple had sold 20.34 million iPhones
– iPads: 11.12 million sold during the quarter, a 166% increase year on year. Last quarter, Apple had sold 9.25 million iPads.
– iPods: 6.62 million sold during the quarter, down 27% year on year. 7.54 million iPods were sold in the last quarter.
– Macs: 4.89 million sold during the quarter, a 26% unit increase over the year-ago quarter. This is an improvement over the previous quarter, when Apple had sold 3.95 million Macs.
– Gross margin was 40.3 percent compared to 36.9 percent in the year-ago quarter.
Notes from Apple’s Investor Conference Call:
– Tim Cooks acknowledged the fact that this was the first investor conference call after Steve Jobs passed away and that Apple will remain dedicated to continue doing Job’s work.
– Apple’s total revenue in fiscal 2011 was more than $108 billion.
– Apple CFO Peter Oppenheimer said that the company was pleased with sales growth of iPhone as it launched the iPhone 4S. The company was working hard to launch the iPhone 4S in more markets and that it will be launched in 22 more countries by the end of this month.
– Apple has 130 carrier partners in 105 countries.
– Tim Cook expects to see iPhone 4S set a new sales record in the coming quarter, with the holiday season coming in. He was enthusiastic about the response that the phone received and said that it couldn’t have got off to a better start.
– Launching the new iPhone late did have an impact on sales. Cook said that iPhone sales took a hit later in the quarter as rumors of the iPhone 4S hit extreme highs.
– Cook did not comment on particular patent disputes with Samsung and other android handset makers but said that Apple has been pushed into the court system for seeking remedy when someone else takes its innovations, on which the company has spent lot of time and money.
– Cumulative sales of all iOS devices till this quarter was at 250 million.
– Revenue from iPad and accessories was $6.9 billion, an increase of 146% year on year.
– iPad is now sold in 90 countries, with 40,000 points of sale globally.
– 90 percent of the Fortune 500 are deploying or testing the iPad.
– The App Store has 500,000 applications and witnessed more than 18 billion downloads. It was launched in more than 30 new markets during this quarter. 140,000 native apps for iPad alone.
– According to Cook, the tablet market will eventually be larger than the PC market. Although, it is also cannibalizing sales of Macs, the materially larger impact will be on the sales of Windows based PCs, which Apple believes is a good sign.
– Portables accounted for 74 percent of Mac sales. Apple witnessed 6 million downloads of it Lion desktop OS since its launch in July.
– iPod touch accounts for more than half of all iPods sold.
– The iTunes Store had revenues of about $1.5 billion in the last quarter, with strong sales of music, video and apps. Apple’s iBooks Store registered more than 180 million book downloads.
– Revenue in the Asia-Pacific region grew by 139% year on year. It saw a growth of 34% in the Americas and 36% in Europe, while it declined in Japan by 21% YoY.
– China is number two in terms of revenue for Apple. The company is also excited about the potential in new markets like Russia and the Middle East.
Targets for next quarter
– Apple expects revenues of about $37 billion and diluted earnings per share of about $9.30, in the next quarter.
– It expects the gross margin to be 40 percent .