Apple reports $24.67 billion in revenue, $5.99 billion profit for second quarter

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Date: Wednesday, April 20th, 2011, 15:05
Category: Finance, News

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As irked as you may be with Apple from time to time, there’s no doubting this: the company makes a profit and is around for the long haul.

Per Macworld, Apple announced the results of its second fiscal quarter, citing sales of US$24.67 billion and a net profit of US$5.99 billion, according to figures announced by the company Wednesday.

The company’s quarterly revenue, a record figure for the second quarter, beat year-ago sales by 83%. Profits also set a record for the quarter, and improved 95% over the US$3.07 billion in profit the company tallied in the 2010 second quarter.

Apple earned US$6.40 per share, beating last year’s second-quarter earnings of US$3.33 per share by 92%. Apple’s performance also blew away analyst estimates. Analysts were looking for the company to report US$23.34 billion in revenue and earnings of US$5.36 per share for the quarter.

During the conference call, Apple stated that it had sold 18.65 million iPhones during the quarter, which ended March 26. This figure represents an increase of 113% from the 8.75 million phones Apple sold over the same period last year. The company recorded recognized revenue of US$12.3 billion in the just-completed quarter, an increase of 126%.

All told, Apple ended its fiscal second quarter with the iPhone available in 90 countries through 186 carriers, compared to 185 carriers in 90 countries at the end of the first quarter; Apple Chief Financial Office Peter Oppenheimer noted that there had been some carrier contraction during the last three months that offset the addition of new partners such as Verizon in the U.S., SK Telecom in South Korea, and Saudi Telecom in Saudi Arabia.

Apple sold 3.76 million Macs during the second quarter, an increase of 28% over the 2.9 million Macs sold during the year-ago period. That set a record for Mac sales during the March quarter, Oppenheimer said. In particular, Mac sales compared favorably with the overall PC market, which contracted at a rate of 3% during the quarter, according to figures from IDC. That marks the twentieth consecutive quarter that Apple has outgrown the PC market, although sales numbers were below those posted by Apple for the last two quarters.

Notebooks continue to be the big driver for Mac sales, with the 2.7 million portables making up 73% of the Macs sold during the quarter. In addition to the February revamp of the MacBook Pro line, Apple also reaped the benefits of last year’s MacBook Air updates. The 1 million desktops sold were only more than during one of the last five quarters.

Apple also made notable gains internationally with Macs, seeing 76% growth in the Asia Pacific region on a year-over-year basis.

The iPad 2 shipped at the end of the quarter, on March 11 in the U.S. and on March 25 in 25 additional countries, which helped spur sales of Apple’s tablet. All told, Apple sold 4.69 million iPads during the quarter, though it didn’t break down those sales between the iPad 2 and the original model. In total, Apple has sold 19.48 million iPads since the product was released in April 2010.

Unfortunately, iPod sales continued their decline, though Apple says that the product line’s performance was ahead of expectations. The company sold 9.02 million iPods during the quarter, a drop of 17% from last year’s second-quarter figures. More than half of the iPods sold during the quarter were the iPod touch, according to Apple’s figures.

Despite that decline, Oppenheimer said that the total iPod sales were ahead of Apple’s expectation, and that the iPod remains the top-selling MP3 player in most of the countries where that data is tracked, and continues to hold onto its market-leading position in the U.S.

Apple found a silver lining in the performance of its iTunes online business, however. That segment tallied US$1.1 billion in revenues, its best quarter ever, according to Oppenheimer.

With Apple’s brick-and-mortar retail outlets approaching their 10th anniversary next month, Oppenheimer noted that the retail chains should see their 1 billionth visitor in a matter of days. During the second quarter, 71.1 million people visited the app store, up from 47 million visitors in the 2010 second quarter.

Revenue from the retail stores grew 90% to US$3.19 billion. Apple says it sold 797,000 Macs through its retail outlets, an increase of 32% from last year. About half of the Macs sold at the Apple Store were to newly minted Mac users.

Apple still plans to open 40 new stores during the 2011 fiscal year, with two-thirds of those outlets opening outside of the U.S. That includes a fifth Apple Store in China.

For the third quarter ending in June, Apple expects revenue of about US$23 billion and earnings per share of US$5.03. That compares to US$15.7 billion in revenue and earnings of US$3.51 a share for the third quarter of 2010. Prior to Wednesday’s call, analysts were looking for sales of US$23.8 billion and earnings of US$5.25 per share for the June quarter.

Apple’s component suppliers say Retina Display might not arrive for iPad devices in 2011

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Date: Wednesday, April 13th, 2011, 04:45
Category: iPad, Rumor

As nifty as Apple’s Retina Display is, it might be hard to put in all of its devices.

Per DigiTimes, component makers for Apple’s iPad claim that the company has released its roadmap for higher-resolution touchscreen tablets, but the project is still at the “initial planning stage” and an upgraded iPad is unlikely to come later this year, according to a new report.

Insiders suggest that Apple could choose AMOLED technology or a high-resolution standard as part of its plan to upgrade the image quality on the iPad.

“Sources from touch panel makers pointed out that Apple recently released its latest tablet PC plan and is asking the panel makers to provide products that are capable to support higher image quality than the current iPad 2,” the report read.

“Apple may even choose AMOLED panel or panel that support Full HD standard to accomplish the plan. However, since the project is still at the initial planning stage, the actual products are unlikely to appear in 2011.”

Sources also cautioned that Apple may hold off on moving to AMOLED because rival Samsung mostly controls the technology. “If Apple is adopting AMOLED panel into its device, Apple would be facing a great risk having the key technologies being held by its competitors,” the report noted.

Upstream component makers pointed out that, given the production ramp up for the iPad 2, launching an iPad 3 this year would “simply bite off share” from the iPad 2.

Further quashing rumors of an iPad 3 in 2011, sources said that they have yet to receive “any notice for next generation iPad products” and do not believe the iPad 2 is a “transitional product.”

Even before the iPad 2 had been announced, rumors emerged earlier this year that Apple would release an iPad 3 in 2011.

Those rumors appeared to have been put to rest after Apple CEO Steve Jobs declared 2011 “the year of iPad 2.” However, intermittent reports since then have continued to suggest that Apple could release an iPad upgrade in 2011.

According to analyst Ming-Chi Kuo with Concorde Securities, Apple faced supply constraints and cost limitations that prevented the iPad maker from adding an improved display to the iPad 2. Kuo has suggested that a Retina display is still in the pipeline, and could make its way into the iPad 3 in early 2012.

Stay tuned for additional details as they become available.

Microsoft releases 14.1 update for Office 2011, 12.2.9 update for Office 2008

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Date: Wednesday, April 13th, 2011, 04:00
Category: News, Software

On Monday afternoon, Microsoft released version 14.1.0 (or Service Pack 1) of its popular Microsoft Office 2011 for Mac suite. The update, a 246 megabyte download, can also be located, snagged and installed via the Microsoft AutoUpdate program, offers the following fixes and changes:
- Security is improved. This update fixes vulnerabilities in Office 2011 that an attacker can use to overwrite the contents of your computer’s memory with malicious code. For more information, see the security bulletin that was listed earlier in this document.

- Stability is improved. This update fixes an issue that causes Office 2011 applications to close unexpectedly when you open or use Office 2011 applications.

- Alt Text authoring is included. This update enables the authoring of Alt Text for objects, such as shapes, pictures, tables, charts, SmartArt, and movies in Office 2011 applications.

Improvements for Microsoft Excel for Mac 2011:
- The Solver add-in is included. This update includes functionality that lets you install the Solver analysis tools in Excel 2011.

Improvements for Microsoft PowerPoint for Mac 2011:
- Password protect functionality is included. This update includes functionality that lets you protect presentations in PowerPoint 2011 by using a password.

Improvements for Microsoft Outlook for Mac 2011:
- Synchronization functionality is updated. This update increases support for Sync Services, and adds calendar, notes, and tasks syncing.

- Rules functionality is improved. This update introduces support for Microsoft Exchange-based Server-Side rules.

- Resend functionality is included. This update reintroduces functionality to resend an email message to the same or new recipients.

- Redirect functionality is included. This update reintroduces functionality to redirect an incoming email message to other recipients.

- Meeting invitation functionality is improved. This update improves creating meeting invitations by including a list of recently used locations.

Microsoft Office 2011 requires Mac OS X 10.5.8 or later to install and run and is available for US$149.99 and up depending on the suite purchased.

If you’ve tried the update and noticed any major changes, please let us know.

In other news, Microsoft also released version 12.2.9 of its Office 2008 suite for Mac. The update, a 333 megabyte download, adds the following fixes and changes:

- Improves stability. In addition, it includes fixes for vulnerabilities that an attacker can use to overwrite the contents of your computer’s memory with malicious code.

Microsoft Office 2008 12.2.9 requires Mac OS X 10.4 or later to install and run and
Microsoft Office 2008 with Service Pack 1. The update can, of course, be located and installed with the Microsoft AutoUpdate tool.

If you’ve tried the new version and have any comments, let us know in the comments or feedback section.

2011 MacBook Pro notebooks booting to gray screen, freezing, workarounds suggested

Posted by:
Date: Monday, April 11th, 2011, 04:25
Category: MacBook Pro, News

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As nifty and drool-worthy as the 2011 MacBook Pro notebooks may be, there still may be issues to sort out.

Per MacFixIt, a number of owners have noted an issue wherein the machine will start up to the gray Apple logo screen without a progress indicator and freeze. Apple has also noted the issue, releasing a knowledge base article to help with the situation.

Apple Support Discussions forum user CoryCripita writes:
“So for the second time my Macbook Pro is stuck on the ****** gray screen and won’t boot. The first time this happened 2 days ago I HAD TO resort to Archive and install. The only thing that I can even think caused this was again the fact that I updated via Software Update then rebooted.”
One suggestion offered on the forum was to reset the PRAM. To do so, turn off your machine. While holding Command + Option + P + R, turn your Mac back on. Wait for the boot chime to ring three times and your machine will start normally.

Apple has released a knowledgebase article to address some causes of this problem. According to the article, the Mac booting to the gray logo screen “may happen if the computer starts up from the hard drive or from an external drive using the wrong version or build of the operating system.”

If this happens, reinstall the proper build of Mac OS X from your install DVDs that came with your Mac. Later versions of Mac OS X will also work, but the article notes that using a version of OS X that was released before the computer will likely cause this issue.

You can check and see which version of Mac OS X your machine is attempting to start from by booting your Mac in Verbose Mode. When starting up, hold Command + V. If a DOS-like white text on black screen pops up, you’ve done it correctly.

“If the computer has the wrong build of the OS installed, the startup process will stop. The following line of text will appear on the display: “Loading SystemLibraryCachescom.apple.kext.cachesstartupExtensions.mkext.””
Hold the power button to shut down and quit Verbose Mode. When you next power on your Mac it will start normally.

If you’ve seen this issue on your end, let us know how it went.

Apple releases Boot Camp update for 2011 MacBook, MacBook Pro users

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Date: Friday, April 8th, 2011, 04:36
Category: MacBook Pro, News, Software

Per the cool cats at MacFixIt, Apple has released an update to the Boot Camp drivers for the latest MacBook Pro systems. This update addresses a couple of problems with Japanese and Korean keyboards in the system, and also fixes shutdown problems, according to the update’s download page. The update is specific for Windows 7, so if you are using an alternative version of Windows, this will not apply to you.

The update should be available for Boot Camp users via Apple’s Software Update utility, but it can also be downloaded and applied manually from the Boot Camp 3.2 Update web page. The update is 21.55MB in size.

If you’ve tried the update and noticed any changes, please let us know in the comments or feedback.

Poll: The Question of the Ages

Posted by:
Date: Friday, April 1st, 2011, 05:07
Category: Poll

It’s April Fool’s Day and some questions just need to be asked…


Who would win in a fight?
Snooki
Standardized testing
  
Free polls from Pollhost.com


2011 MacBook Pro Turbo Boost problem may be larger issue than originally thought

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Date: Tuesday, March 22nd, 2011, 05:57
Category: MacBook Pro, News

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The good news is that the new 2011 MacBook Pro notebooks are out and they are generally considered speedy and awesome.

The bad news is that Apple may have been aware for some time of the problem of new MacBook Pros crashing under heavy loads. According PC Pro magazine, Apple appears to have deliberately turned off Turbo Boost for the top-end 13″ model (with a dual-core 2.7 GHz Intel Core i7-2620M processor) when running Windows under Boot Camp.

PC Pro originally thought that Turbo Boost had been disabled under OS X as well, but then tests performed by AnandTech showed that the feature was only disabled under Windows. “We first noticed a problem when the benchmarks finished five full runs and the results popped up on screen: the times taken to complete several of the most intensive tests were rising with each run” says PC Pro. “This would suggest an overheating problem, so we ran a temperature monitor to find out how hot this Sandy Bridge CPU was getting.”

In fact, the CPU was reaching around 93°C — almost 200°F. “93°C is not necessarily too high for a modern CPU, but it is the root cause of the bigger performance problem.” The magazine went on to state that it was sure the processor isn’t turning off Turbo Boost dynamically, since it didn’t work at all during their week of testing no matter what the CPU temperature was. Also, the cheaper model with the i5 processor did use Turbo Boost, as did the i7 model under OS X.

After measuring the underside temperature of the top-end model at 60°C — 140°F — they conclude that it might actually be a better deal to buy the cheaper 13-inch MacBook Pro. If Turbo Boost is disabled on the higher model, the lower-end version will actually run Windows faster than the more expensive MacBook Pro.

Stay tuned for additional details as they become available.

2011 MacBook Pro notebooks may be locking up/temperature spiking under heavy CPU/GPU loads

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Date: Monday, March 21st, 2011, 04:51
Category: MacBook Pro, News

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It’s not as specific a problem as you might like but it’s getting some attention.

Per MacRumors, a lengthy discussion thread on Apple’s discussion forum reveals an issue that some new 2011 MacBook Pro owners have been having with their new machines. A MacRumors discussion thread also mirrors some of the complaints.

Forum user lithast describes his situation:
“Received a new 15″ 2.2/6750M MBP last week and have been having some issues with the machine locking up under load.

For example if I boot up a VM using Fusion the temperature will spike up above 90 degrees and the machine will lock up most of the time. The machine appears locked (cannot move the mouse at all and keyboard is unresponsive). I can SSH into the machine still and it still is running however. This is one example but it will freeze under a number of circumstances where the CPU/GPU load is very high (rendering, DJ Software, compiling so far in my travels).”

There’s been speculation that the issue is related to the graphics driver or power management, and it seems the issue is reliably reproducible. A wiki has been organized to document the issue. Apple is reportedly aware of the issue, but no reliable solution has been provided.

If you’ve seen this on your end, please let us know.

Owners of 2011 MacBook Pro report troubles with iTunes Home Sharing feature

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Date: Thursday, March 17th, 2011, 11:32
Category: MacBook Pro, News, Software

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As nifty as the 2011 MacBook Pro notebooks are, there may be some debugging that needs to be done.

Per AppleInsider, a number of early 2011 MacBook Pro owners report being unable to connect devices or maintain connections through iTunes Home Sharing.

A support thread in Apple’s Discussion forums has received over 200 posts from owners of Apple’s latest MacBook Pros reporting issues with iTunes Home Sharing. Several readers have also contacted AppleInsider regarding the issue.

“This is turning out to be a bigger problem than I thought with many people giving up and returning their new MBP 2011 due to this conflict. Apple has yet to find a fix but it has been widely documented via phone through AppleCare and through many Apple retail stores,” wrote one reader.

According to forum user ‘themacbear,’ the new MacBook Pro was able to stream to a second-generation Apple TV at first, but then the Apple TV reported being unable to connect or would display the error message “There are no movies in this library.”

In March, Apple released iOS 4.3 with new Home Sharing features. The Mac maker also issued iTunes 10.2 and then iTunes 10.2.1 to add compatibility with iOS 4.3 and Home Sharing. In spite of the updates, a number of users continue to report being unable to connect or maintain connections with iOS devices on their early 2011 MacBook Pros.

Recent improvements to the Home Sharing feature expand iTunes library sharing from just between Macs, PCs and Apple TVs to include mobile devices such as iPods, iPhones and iPads. When working properly, Home Sharing in iOS 4.3 allows an unlimited number of iOS devices to access content over Wi-Fi.

Though early 2011 MacBook Pros appear to be having the most trouble with Home Sharing, owners of older machines have also reported problems with the feature in a support thread for Home Sharing in iOS 4.3 that has reached 60 posts.

Stay tuned for additional details as they become available and if you’ve seen this issue on your end, please let us know.

Apple begins shipping build-to-order MacBook Pro orders, cites March 3rd delivery date

Posted by:
Date: Monday, February 28th, 2011, 07:34
Category: MacBook Pro, News

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Apple’s first build-to-order units for its 2011 MacBook Pro notebooks began shipping, the company promising delivery by next Thursday.

Per AppleInsider, Apple began dispatching these shipments from its Far Eastern manufacturing facilities to Fed-Ex’s Shanghai, China-based shipping hub where they’ll be mailed via air fright this weekend to the courier’s stateside hubs for delivery to customers early next week.

Apple is currently promising delivery by Thursday the 3rd through its own order status system, while FedEx is a bit more ambitious, promising delivery by 10:30 am local time on Wednesday the 2nd for this particular order.

It should be noted that the custom configured MacBook Pro shown in the order below was shipped via Apple’s US$18 2-3 day shipping method, as opposed to its standard free shipping method. This particular notebook was upgraded with a 256GB SSD drive and 8GB of memory.

Meanwhile, several of Apple’s larger authorized resellers are already reflecting stock of the company’s five standard retail configurations for the MacBook Pro. And a handful are offering considerable early discounts of up to US$150 on the new models.

Stay tuned for additional details as they become available.