Apple on Wednesday account its most profitable March poop ever — revenues of $ 5.26 billion and a net quarterly net income of $ 770 million , or $ .87 per diluted share .
The company shipped 1.517 million Macs and 10.549 million iPods during the quarter — that ’s 36 per centum growth in Macs and 24 per centum growth in iPods class over year . In a statement announce the earnings , Apple CEO Steve Jobs said that Mac sales are grow at 36 percent , more than three clip the industry emergence rate fit in to IDC analysis .
The call set forth as it always does — with a disclaimer from Apple investor relations liaison Nancy Paxton , and a preamble from Apple COO Peter Oppenheimer , who restated the same information in Apple ’s earnings statement , which hit the intelligence telegram about half an 60 minutes before the call began .
Music products and avail represent about 44 percent of Apple ’s revenue , say Oppenheimer . The iTunes Store helped other music revenue spring up 35 pct year over yr , he said .
Apple opened seven new retail stores in the quarter . intermediate tax revenue per computer storage was $ 5 million . Oppenheimer said that Apple will open a third store in Manhattan at fourteenth St. and 9th Ave . , in New York ’s Meatpacking ( Mepa ) district .
Oppenheimer turn his tending to the iPhone , which will ship in June and be available from AT&T ( formerly Cingular ) . Oppenheimer said that Apple will offer gratis unexampled software system and features in the iPhone after it initially ships . As a consequence , the party plan to assume a subscription - oriented account insurance on a straightline basis for in good order report the revenue derive from the iPhone .
Oppenheimer say the same go for the Apple TV , Apple ’s recently exhaust interface that makes it potential to pelt digital video from a Mac or PC to a home plate entertainment system . Apple will offer novel lineament as time run short on , and report for the Apple TV similarly to the iPhone .
This does n’t set the microscope stage for Apple to commence tender subscription - found content , according to a clarification from Oppenheimer during the analyst Q&A. Instead , Oppenheimer intimated that it ’s an accounting tactic to enable Apple to comply with SEC regulations regarding the reportage of taxation while continuing to improve the ironware with newfangled capability via package updtes .
orchard apple tree promise revenues of more or less $ 5.1 billion for the current tail , with salary per share of about 66 centime , according to Oppenheimer . In the Q&A academic term afterwards , he say that the lower revenue numbers are see by Apple as a seasonal market place issue associated with iPod sales agreement from the March to June living quarters , similar to what Apple see last class . He said the quarterly transition “ is n’t as unattackable from a consumer perspective . ”
Apple ’s first interrogative sentence from financial analyst came in congress to the backdating scandal that has embroiled Apple ’s former CFO Fred Anderson and corporate counselling Nancy Heinen . Oppenheimer pointed to a statement published earlier this good afternoon by Apple ’s Board of Directors stating its support of Steve Jobs , and allege that Jobs has join forces fully with Apple ’s own intimate investigation and an SEC probe .
Apple COO Tim Cook indicated that there ’s “ no issue ” with staffing regarding Leopard ’s lately announced delay . “ We had always project to use Mac bone resources to complete iPhone , ” but it ’s just select longer for Apple to finish Leopard and iPhone than expected .
Oppenheimer and Cook were careful to note to analyst that this quarter fancy an unexpectedly gamey gross gross profit spirit level , thanks to lower - than - look prices of commodity components include NAND flash remembering ( used in the pop iPod nano and iPod shuffle ) . Oppenheimer stressed that this was an unusual phenomenon , and that analysts should not have a bun in the oven this to continue .
“ It ’s very difficult to tell what the demand for a Cartesian product is before you ship it , ” said Cook , when asked about whether Apple will be able to keep up with demand for the iPhone when it is released in June . “ I have n’t started ramp yet , ” pronounce Cook , so he ’s not uncoerced to guess about whether Apple will be able to meet requirement .
Apple ’s seen a huge uptick in the sales of accessories designed to work with iPods as the devices have grown in popularity ; such accoutrement take up a bombastic chunk of the shelf space at Apple retail stores . Oppenheimer indicate that Apple will also offer iPhone accessories in prediction that iPhone user will be similarly concerned .
Cook noted that Apple lately denote an expansion of its relationship with countrywide electronics retail merchant Best Buy , expanding to 200 of Best Buy ’s retail localization . He indicated that the company has some new marketing programme with Best Buy that will be introduced in the coming month .
Cook suggested that Apple ’s computers are “ competitively priced , ” as evidenced by the enormous yr - over - class growth in Mac sales . Cook say that outside of Japan , the company is seeing hugely expanded Mac gross revenue in every geographical operating region worldwide .
“ Japan is a very challenging market for us , ” enounce Cook . The MP3 mart is n’t growing there he sound out . Apple is cause efforts to release thing around in merchandising the Mac , he said , but he added that it ’s the only major region in the world where Apple is n’t growing food market parcel , and he call it “ very frustrating . ”
Macworld’slive coverage of Apple ’s call with fiscal analysts has concluded . Visit our home base Sir Frederick Handley Page for additional news .
