Apple Reports Third Quarter Results - Calgarypuck Forums - The Unofficial Calgary Flames Fan Community

FanIn80 · 07-21-2009, 02:44 PM

Quote:

Best Non-Holiday Quarter Revenue and Earnings in Apple History
CUPERTINO, California—July 21, 2009—Apple® today announced financial results for its fiscal 2009 third quarter ended June 27, 2009. The Company posted revenue of $8.34 billion and a net quarterly profit of $1.23 billion, or $1.35 per diluted share. These results compare to revenue of $7.46 billion and net quarterly profit of $1.07 billion, or $1.19 per diluted share, in the year-ago quarter. Gross margin was 36.3 percent, up from 34.8 percent in the year-ago quarter. International sales accounted for 44 percent of the quarter’s revenue.

Quote:

Apple sold 2.6 million Macintosh® computers during the quarter, representing a four percent unit increase over the year-ago quarter. The Company sold 10.2 million iPods during the quarter, representing a seven percent unit decline from the year-ago quarter. Quarterly iPhones sold were 5.2 million, representing 626 percent unit growth over the year-ago quarter.

http://www.apple.com/pr/library/2009/07/21results.html

red sky · 07-21-2009, 02:57 PM

nm

FanIn80 · 07-21-2009, 03:24 PM

Quote:

Conference Call Updates
- Customer response to the portable line has been favorable after the refresh
- Sold 10.2 million iPods. Reasons for decline: reduced channel inventory, and sell through decline
- 3 categories: traditional MP3, iPod Touch, iPhone
- For Traditional MP3: year-over-year decline which they predicted
- Expect Traditional MP3 sales to decline further over time
- Believe we have a great business that will grow over time
- 50% of recent traditional iPod purchases are buying their first iPod
- iPod Touch did extremely well in the quarter. Enhanced by App Store.
- over 70% of U.S. marketshare with iPod
- Over 5.2 million iPhones in the June quarter. Response to the new iPhone 3GS has been tremendous.
- Unable to make iPhone 3GSs to meet demand
- iPhone OS 3.0 release well received. App Store is key strategic differentiator.
- iTunes Store - strong sales of music, video and apps.
- Over 8 billion songs downloaded from iTunes Store
- Retail Stores: 492,000 Macs sold this quarter. 1/2 Macs sold to customers who never owned a Mac before. 258 stores total.
- First store in France during holiday quarter.
- Margins better than predicted. Component cost did increase but not to the level expected, spent less in warranty and manufacturing, efficiently ramped products this quarter.
- Cash: $31.1 billion at end of quarter. Investment priority is preservation of capital. Comfortable with investment portfolio
- $500m pre-payment to Toshiba for NAND Flash made.

Q&A
- Any plans on extending carrier relationships to other products beyond iPhone? Nothing to announce.
- Consumer market performed relatively better than the K12 performance this last quarter
- Pro business also affected more by the economy than the consumer business.
- Units grew faster than our revenue in part due to price cuts on portables.
- Some idea of how the $99 iPhone is doing? As we made the changes for the 3GS and price drop. We saw a significant acceleration of sales overall, but can't give out breakdown. The 3GS is currently constrained, so demand has been robust.
- Progress in large enterprise? iPhone doing well with small business and large businesses that allow purchase iPhones in individual use. Multiple corporations who have sold in excess of 25,000. Feel good about how we are doing. Most recent study has ranked iPhone highest in overall satisfaction for business customers.
- Factors looking into future from Apple: For many key components, costs are rising. We will continue to focus on state of the art products at prices our competitors can't match. And ever improving value to our customers.
- Given response on the price cuts, can you give us thoughts about the elasticity of the Mac market? Mac sales did accelerate after the announcement at WWDC, and we feel great about how they are selling. As we expected there are some number of people who are buying up. We're not thinking fundamentally different than it was before. Goal is to build the best computers in the world. If we can do that at lower prices, then we will but we won't put it on a product that doesn't live up to Apple's name.
- Any thoughts about Snow Leopard and $29 price point? Snow Leopard includes a lot of core improvements. Priced it very aggressively so that all of our users can upgrade to it. We're hoping they'll do that. As we announced at WWDC, we continue to expect to ship it later this quarter.
- Competitors with Media Stores, Can you talk about how to out-innovate competitors? I don't want to talk too much about what we are planning in the future, but we just shipped the next major version of iPhone OS and the App Store reaches over 45 million customers. App Store has been an unprecedented success with over 1.5 billion apps downloaded. The 65,000 apps compares favorably to the other stores. We have substantial advantages over the competitors. Feel extremely good about our competitive position.
- Do you still feel the lower price PC business model is still not attractive? Our goal is not to build the most computers, but to build the best. We don't see a way to build a great product for this $399, $499 - this kind of price point unit and as I've said before and I think this is playing out in several areas. Some customers get disappointed or disenchanted with these products.
- Is there a market for a larger portable device? Never want to discount anything in the future, but the point I'm making right now is that most people who buy a portable want a full featured notebook and we know from our research that our customers are very happy with us. Many of the netbooks being delivered are very slow and old software technology. Not a robust computing experience. Small displays and small keyboards. That kind of thing many people will not be happy with. We're only going to play in things where we can deliver something that we're very proud of.
- Question regarding "race to the bottom" of App Store pricing. Is this a concern? Any Steps? We're always looking for ways to categories apps differently and we have some ideas. We do it by type of apps and top selling apps, and we realize there is opportunity for further improvement and we are working on that. As for price, it's up to the developers to choose where to set the price. I would think as the installed base grows, it makes sense to have lower prices but that's totally up to the developer.

Apple Financial Results live conference call stream: http://www.apple.com/quicktime/qtv/earningsq309/

mykalberta · 07-22-2009, 10:17 AM

Wow, the apple love is now gone into posting financial results - geesh.

31B cash on hand - cripes.

Russic · 07-22-2009, 10:25 AM

I love where this thread is going.

Wookie · 07-22-2009, 10:40 AM

Quote:

Originally Posted by mykalberta

Wow, the apple love is now gone into posting financial results - geesh.

Ahhhhhhh... I wanted to post the same thing but didn't know a polite way to do it. I'm surprised CNQ's, Paramount and Bow Valley's quarterlies don't get put on the Flames board.

Russic · 07-22-2009, 10:46 AM

Quote:

Originally Posted by Wookie

Ahhhhhhh... I wanted to post the same thing but didn't know a polite way to do it. I'm surprised CNQ's, Paramount and Bow Valley's quarterlies don't get put on the Flames board.

I'm certainly not trying to start anything here, but do you actually think if Microsoft posted results like this it wouldn't get posted here? Why can't we all agree that mac fans and microsoft fans are both odd creatures?

Barnes · 07-22-2009, 10:57 AM

Quote:

Originally Posted by Russic

I'm certainly not trying to start anything here, but do you actually think if Microsoft posted results like this it wouldn't get posted here? Why can't we all agree that mac fans and microsoft fans are both odd creatures?

What! No never!

Oh Wait....

What's this???....

http://forum.calgarypuck.com/showthr...ight=Microsoft

Hey who's that poster??

Wookie · 07-22-2009, 11:07 AM

Quote:

Originally Posted by Russic

I'm certainly not trying to start anything here, but do you actually think if Microsoft posted results like this it wouldn't get posted here? Why can't we all agree that mac fans and microsoft fans are both odd creatures?

Ummm... I don't know. Never really thought about it. But doubt it... (haha, nice screen shot above, doh) And if they were I'd assume it'd be in the off topic forum much like if someone posted "OMG look how much money exxon made this year"

Are people actually microsoft fans? Or are they just die hard apple haters? I don't really care - I guess I'd fall into the "I find apple fan-boi's annoying group" which maybe makes me as bad as them

mykalberta · 07-22-2009, 02:13 PM

Quote:

Originally Posted by Russic

I'm certainly not trying to start anything here, but do you actually think if Microsoft posted results like this it wouldn't get posted here? Why can't we all agree that mac fans and microsoft fans are both odd creatures?

Seriously?

Microsoft 2008 profit numbers after tax are almost 4X Apple.

Microsoft 2008: 17.8B (Year ened June30)
Apple 2008: 4.8B (Year end Sept27)

http://www.google.com/finance?q=NASDAQ:MSFT&fstype=ii
http://www.google.com/finance?fstype=ii&q=NASDAQ:AAPL

Apple is a great comapny and makes great devices but lets keep things in perspective.

Bertuzzied · 07-22-2009, 03:49 PM

Quote:

Originally Posted by mykalberta

Wow, the apple love is now gone into posting financial results - geesh.

31B cash on hand - cripes.

They would have a lot more if they didnt' spend it on those useless Mac vs Pc ads. As if it would actually make a person want to buy an apple after watching those. hehe

Russic · 07-22-2009, 03:57 PM

Quote:

Originally Posted by mykalberta

Seriously?

Microsoft 2008 profit numbers after tax are almost 4X Apple.

Microsoft 2008: 17.8B (Year ened June30)
Apple 2008: 4.8B (Year end Sept27)

http://www.google.com/finance?q=NASDAQ:MSFT&fstype=ii
http://www.google.com/finance?fstype=ii&q=NASDAQ:AAPL

Apple is a great comapny and makes great devices but lets keep things in perspective.

When I said "if microsoft posted results like this ..." I meant "if microsoft had their best non-holiday quarter revenue and earnings in their history ..."

Yeah_Baby · 07-22-2009, 03:59 PM

Quote:

Originally Posted by Bertuzzied

They would have a lot more if they didnt' spend it on those useless Mac vs Pc ads. As if it would actually make a person want to buy an apple after watching those. hehe

It makes me feel smug and superior. Well worth the ad budget

Phanuthier · 07-22-2009, 03:59 PM

I think its a pretty common, but unpresented (as far as CP goes) perspective.

Apple has some crazy marketing, despite their pretentious stores. Saying that, I've never and will never buy a Apple stock.

Bertuzzied · 07-22-2009, 04:02 PM

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Originally Posted by Barnes

Nerd. Who has PETA on their quick links? hehe

Bertuzzied · 07-22-2009, 04:03 PM

Quote:

Originally Posted by Yeah_Baby

It makes me feel smug and superior. Well worth the ad budget

Well i guess when you are paying double for your machine... hehe

FanIn80 · 07-22-2009, 04:08 PM

Quote:

Originally Posted by Bertuzzied

Well i guess when you are paying double for your machine... hehe

No kidding. Why on earth would anyone ever pay 2x, 3x, 4x, 5x, or even 10x for:

When they can save their money, and still get to work on time in:

The way people throw money away is just completely mind-boggling sometimes.

FanIn80 · 07-22-2009, 04:11 PM

Quote:

Originally Posted by mykalberta

Wow, the apple love is now gone into posting financial results - geesh.

Quote:

Originally Posted by Barnes

Looks like someone just got rolled...

Edit: The worst part about this, is how ashamed you should be. I can understand someone who doesn't know any better questioning another person for liking Apple... but there is just NO excuse for being a M$ Fanboi. Even (sane!) PC users would agree with this.

Barnes · 07-22-2009, 04:20 PM

Quote:

Originally Posted by Bertuzzied

Nerd. Who has PETA on their quick links? hehe

It's not PETA.

Bertuzzied · 07-22-2009, 04:24 PM

Hmmm in a car comparison though the PC would be the Beemer. hehe

The Mac would be more like a Honda Element. No one would hack an Element.

Quote:

Originally Posted by FanIn80

No kidding. Why on earth would anyone ever pay 2x, 3x, 4x, 5x, or even 10x for:

When they can save their money, and still get to work on time in:

The way people throw money away is just completely mind-boggling sometimes.