Apple reports $46.33 billion in sales, $13.06 billion profit for Q1 2012

Posted by:
Date: Tuesday, January 24th, 2012, 16:37
Category: Finance, News

applelogo_silver

You just can’t ignore a US$13.06 billion profit.

Per Macworld, Apple on Tuesday reported that it tallied US$46.33 billion in sales and US$13.06 billion in profit for the fiscal first quarter ended Dec. 31.

Both the revenue and profit figures were quarterly records for Apple and blew away the numbers recorded in the year-ago quarter. Sales rose 73 percent from last year’s figure of US$26.74 billion; profits more than doubled from the US$6 billion earned in the fiscal first quarter of 2011.

Apple earned US$13.87 per share for the just-completed quarter, up 116 percent from last year. That handily beat consensus analyst estimates of US$10.08 per share. Analysts were expecting Apple’s sales to come in at US$38.85 billion.

“We are very proud of these results and extremely pleased with the momentum of our business,” Apple chief financial officer Peter Oppenheimer told analysts during a conference call to discuss the company’s results. Noting the record sales across three of its major product offerings, Oppenheimer hailed what he called the “strongest product lineup in Apple’s history.”

Apple’s strong performance during the quarter comes with a minor caveat. To align the fiscal first quarter with the end of the calendar year, Apple’s quarter ran 14 weeks—that’s an extra week over the typical fiscal quarter.

The company sold 37.04 million phones during a quarter which saw the release of the iPhone 4S. That’s a 128 percent jump from the iPhones sold during the year-ago quarter, and it tops the previous record for iPhone sales of 20.34 million units sold during 2011’s third quarter.

Apple reported US$24.4 billion in recognized revenue from its iPhone product line, up from US$10.5 billion in the year ago. While Apple doesn’t break out sales by model, Cook noted that the 4S was the most popular of the smartphones sold by Apple. (The company also sells a US$99 iPhone 4 and offers a free iPhone 3GS with a two-year service agreement.)

The iPad also enjoyed record sales during the quarter, with Apple selling 15.4 million tablets. That’s an increase of nearly 111 percent from the 7.3 million iPads sold during the year-ago quater.

Recognized revenue from the iPad line jumped 99 percent to US$9.1 billion, up from US$4.6 billion in last year’s quarter.

Since releasing its first iPad a little less than two years ago, Apple has sold 55 million tablets, according to Cook.

Looking at all products that run the iOS mobile operating system, Apple says it’s sold 315 million cumulative iOS devices, with 62 million of those devices being sold in the just-completed quarter.

One of those iOS devices—the iPod touch—accounted for more than half of the iPods sold by Apple during the holiday season. That’s a bright spot in the otherwise stagnant iPod segment—sales dipped 21 percent for the quarter to 15.4 million units.

Still, Apple says that the iPod still continues to command a 70 percent share of the MP3 player market, and its music player remains the top-selling device in most of the countries the company monitors.

Apple completed its hat trick of product line records by selling more Macs during the first quarter than in any previous quarter. The company says it sold 5.2 million Macs, a 26 percent increase from the year-ago quarter. Oppenheimer said the growth was driven by strong MacBook Air, MacBook Pro, and iMac sales

Sales of both desktops and laptop topped quarterly records as well, though laptops continue to drive the company’s Mac business. Apple sold 3.7 million portables during the quarter, nearly 72 percent of the total Macs sold.

The strong Mac sales come at a time when the rest of the PC industry is struggling with stagnant growth. Oppenheimer noted that research firm IDC forecasted a flat growth rate for the quarter—a figure that Apple easily outpaced. It’s the 20th consecutive quarter that Apple’s Mac business had outgrown the overall PC market.

In fact, Apple outgrew the PC market in each of the geographic regions it does business. Growth was particularly strong in the Asia Pacific region, where Mac sales grew 58 percent.

On the retail front, Apple’s 361 stores brought in US$6.1 billion in revenue for the quarter, up from US$3.85 billion last year. The stores reported strong year-over-year growth across all product lines—Apple sold 1.1 million Macs through its retail stores, for example, with half of those going to customers new to the platform. Average store revenue rose from US$12 million last year to US$17.1 million.

Apple says 110 million people visited its stores during the holiday quarter, an increase of 45 percent from last year. That works out to a weekly average of 22,000 visitors per store. Oppenheimer credited two initiatives—Apple’s EasyPay self-checkout process and Personal Pickup, where customers shop online and pick up products at the store of their choice.

Apple opened four stores during the quarter—one in New York’s Grand Central station and the other three in Europe. Oppenheimer usually provides an estimate of planned store openings for the coming quarter, but that was absent this time around. In September, Apple said it would open 40 new stores in 2012 with three-quarters of those slated for outside the
U.S.

Apple ended its first quarter with US$97.6 billion in cash, up from US$81.6 billion at the end of the September quarter. Oppenheimer said that Apple was “actively discussing uses of our cash balance,” but added that there was nothing to share at this time.

Looking ahead to the second quarter ending in March, Oppenheimer told analysts to expect $32.5 billion in revenue and earnings per share of US$8.50. That compares to revenue of US$24.67 billion and earnings of US$6.40 a share in the 2011 second quarter. Analysts are looking for earnings of US$8.03 a share on sales of US$32.04 billion.

Stay tuned for additional details as they become available.

Apple nukes $100 rebate with purchase of qualifying printer, future incentive programs in question

Posted by:
Date: Wednesday, January 18th, 2012, 05:23
Category: News, retail

applelogo_silver

You know, it was kind of nice having a nifty incentive/rebate to look forward to.

Per ” target=”_blank”>AppleInsider, Apple’s promotion that offered a US$100 rebate to customers who purchased a Mac and qualifying printer has been discontinued with no alternative incentives announced.

In a change to its promotion information webpage on Tuesday, Apple announced that the long-standing printer rebate program has been cancelled, leaving the company without any rebates or incentives for new computer buyers.

The Cupertino, Calif., company has traditionally offered some sort of incentive when customers buy a new Mac, such as the US$100 instant rebate when purchasing a computer and printer. While the programs were usually “limited time only” affairs, Apple’s latest printer rebate was a perpetual offer that stipulated the company could end it at any time.

Apple has advertised a US$100 printer rebate sporadically from 2001 alongside numerous other discounts and promotions for both hardware and software.

The company is also known for its educational rebates and discounts, including the annual back-to-school promotion which has offered free iPods to gift cards.

Currently, Apple offers discounts for students and teachers through its Education Store or at Apple Store locations and campuses though the program is more of an institution rather than form of incentive.

It is unclear whether Apple is slowly phasing out incentives as the company’s online store usually has some type of discount.

Stay tuned for additional details as they become available.

WaterBlock technology demoed at CES, could provide waterproofing shield for iOS devices

Posted by:
Date: Tuesday, January 17th, 2012, 04:13
Category: iPad, iPhone, iPod, News

With any luck, something will come of this.

And it will be spiffy.

Per Pocket Lint, HzO, the maker of a “WaterBlock” technology shown off at last week’s Consumer Electronics Show, has said it is in talks with Apple about using its material in future devices, including the iPhone.

HzO was promoting its nano-scale film barrier at CES last week, pitching it as a potential solution to waterproof expensive electronic equipment. One of their demonstrations included submerging an iPhone into water, and having it remain in proper working order.

HzO’s technology is similar to the nano-coating process demonstrated at CES by P2i, branded “Aridion” and profiled yesterday. A video demonstration of Aridion-treated paper also appeared recently. The technology is already in use by Motorola on both its Droid RAZR smartphone and XYBOARD tablet.

While speaking to attendees at the show, officials with HzO said that Apple is among the companies that have shown interest in the water repelling technology. Company officials said Apple was interested in making a future iPhone waterproof, potentially with a sixth-generation model expected to be released later this year.

“We expect HzO to be in next season’s phones,” the company reportedly said.

In addition to Apple, its rival Samsung is also said to have shown interest in HzO’s technology. The company said it showed a Samsung executive a waterproofed Galaxy S smartphone, and that company officials were “really excited” by what they saw.

HzO’s WaterBlock technology protects the insides of devices on a molecular scale. It has been used in demonstrations to protect a number of Apple products, including the iPhone 4S, iPads and iPods, after the material has been applied to the devices in a vacuum deposition process.

The company says that WaterBlock is a non-toxic, organic material that is safe for people to use. It also doesn’t change the aesthetics of a device or add any weight.

The technology is intended for “accidental encounters” with moisture, meaning use in deep waters or being submerged for an extended period of time is not recommended. However, HzO coated devices have reportedly been immersed in water for “many continuous hours,” and they continue to work fine.

“The technology is designed to protect against failure due to jumping in a pool and forgetting your phone was in your pocket, or dropping your iPod in the sink while doing dishes, or getting caught in a torrid rain storm and getting soaked, or leaving your smartphone in your pants when they go through the wash,” the company said.

Still, a video’s worth a thousand words, so here we go:



Let us know what you make of this in the comments.

Rumor: iPad 3 to retain Apple dock connector

Posted by:
Date: Thursday, December 29th, 2011, 11:10
Category: iPad, Rumor

If there’s one universal constant, it’s the Apple dock connector.

Per Macotakara, new components claimed to be from Apple’s third-generation iPad show continued use of the 30-pin dock connector, potentially dispelling rumors that it would be replaced with a smaller form factor.

The web site ordered a handful of components claimed to be from prototype builds of Apple’s anticipated third-generation iPad. The so-called “replacement parts” purport to be a microphone flex cable ribbon, power on/off flex cable, and dock connector charging port.

The dock connector is the most significant of the trio of components, because the 30-pin port still fits with Apple’s existing iPod cable used on current iPhone, iPad and iPod models. The hands-on look at the part found that the cable sticks slightly shallower into the port, and the connector is shorter than before.

An earlier rumor about the next iPad’s dock connector surfaced in October from the same website, suggesting Apple’s third-generation iPad would feature a new, smaller dock connector. It was then claimed that the port would include the same 30-pin input and electricity specification internally, but it would be redesigned and smaller on the outside.

The current 30-pin dock connector was first introduced in Apple’s iPod lineup back in April of 2003. It has been largely unchanged ever since, and Apple has even managed to squeeze the port onto its diminutive touchscreen iPod nano.

As for the other alleged third-generation iPad components, the power on/off flex cable includes a power button, rotation lock button, and volume button, suggesting all of those hardware features will be retained in the next iPad. The microphone flex cable is also said to be redesigned from the iPad 2.

The parts were obtained from reseller TVC-Mall.com, which gained attention earlier this month when it was found to be selling the microphone flex cable ribbon replacement. Because the part shows a different arrangement in internal circuitry than with the iPad 2, it led to speculation that the internal components of a so-called “iPad 3″ may feature a significant redesign.

The first purported iPad 3 part surfaced in July, and it too hinted at material design changes with the next-generation tablet, at least internally, due to different part numbers on a hardware component.

Stay tuned for additional details as they become available.

Rumor: Apple developing wearable, Siri-controlled computing devices

Posted by:
Date: Monday, December 19th, 2011, 09:12
Category: Hardware, Rumor

I’ve said it before and I’ll say it again: It’s the rumors that make technology interesting.

Per the New York Times, Apple has reportedly begun work on new, tiny, wearable devices that could be controlled with Siri, or used to input information to devices like the iPhone.

One of the prototype products developed by Apple, according to the article, is a “curved-glass iPod that would wrap around the wrist.” Users could interact with this device by using their voice, like with Siri on the iPhone 4S.

Another experimental idea from Apple has been small, wearable devices that could be used to input information on another, more powerful device like an iPhone. These accessories could also wirelessly display information on other devices, like iPods.

Apple’s interest in wearable electronics has reportedly been spearheaded by a very small group of employees at the company. But prototypes of some wearable devices have allegedly been built by the company.

Author Nick Bilton said Apple is not alone in its pursuit of these devices: Google, too, is said to have been working on wearable computers that could connect to Android smartphones. Calling the smartphone the “first wearable computer,” Bilton said smartphones will eventually become the “hub” for all information, “transmitting power and Internet access to sensors and screens that are tacked on to our clothing.”

Of course, Apple has produced wearable version of the iPod for years, and currently sells the iPod shuffle and iPod nano, both of which include a clip so it can be attached to clothing. The iPod nano, which includes a multi-touch display, can also be worn as a watch with available accessories.

Though the tiny iPod nano includes a standard 30-pin iPod dock connector, it does not include any wireless functionality that would allow it to wirelessly communicate with an iPhone. As it stands, the iPod nano is a standalone media playback device.

But Bilton’s report envisions a future where all devices are connected, and wearable electronics could include glasses or even contact lenses with built-in screens, capable of displaying information to users.

Stay tuned for additional details as they become available.

Tekkeon introduces MP1580 battery pack, allows external charging of iOS, other USB-charging devices

Posted by:
Date: Monday, December 12th, 2011, 05:39
Category: Accessory, iPhone, News

This could be useful.

Per iLounge, Tekkeon has introduced its new TekCharge MP1580 battery pack for the iPod, iPhone, and other USB-charging devices. The MP1580 offers the ability to charge devices using between two and four AA batteries, and serves as a charging station for rechargeable NiMH or lithium cells. Other features include an inline voltage regulator to ensure safe charging, a built-in USB slot for connecting charging cables, and an external charge indicator.

The TekCharge MP1580 is available now and retails for US$25.

Glowing iPhone 4 causes scare on Australian airline flight

Posted by:
Date: Tuesday, November 29th, 2011, 08:58
Category: battery, iPhone, News

You’d probably remember seeing this if you were there.

Per PC Mag, an Australian regional airline had to extinguish a glowing red iPhone 4 that was emitting “dense smoke” on an airplane have sparked concerns over the handset’s battery safety.

Regional Express (REX), the country’s largest independent regional airline, said last Friday that a passenger’s iPhone was emitting a “red glow” and smoke on a flight from Lismore to Sydney. A flight attendant extinguished the smoking smartphone and no one was injured during the incident.



Judging by the model number of the device, the handset in question is the GSM version of the iPhone 4.

The Australian Transport Safety Bureau and the Civil Aviation Safety Authority have both been notified of the matter. Though the mishap may prompt an investigation by officials, it does appear to be a relatively isolated occurrence.

The issue does, however, come on the heels of an Apple replacement program for the first-generation iPod nano due to potential battery overheating issues. After first rolling out replacement offers in select countries, Apple initiated the program worldwide earlier this month, noting that the problem is “very rare,” though the likelihood of overheating does increase over time.

In April, the U.S. House of Representatives passed a bill exempting lithium batteries used in consumer electronics from proposed limitations that would classify the batteries as hazardous materials. According to an analysis commissioned by the Rechargeable Battery Association, the limitations would have cost electronics makers US$1.13 billion alone in the first year.

One of the biggest consumer electronic battery scares in recent years occurred in 2006. Sony recalled 9.6 million lithium-ion batteries that year after microscopic metal particles were detected inside the batteries. The incident affected Apple, which had to recall 1.8 million iBook and PowerBook G4 batteries. Sony had also supplied the defective batteries to Dell, Fujitsu, Gateway and Toshiba.

Stay tuned for additional details as they become available.

Apple announces free shipping, free gift wrapping for online orders

Posted by:
Date: Monday, November 28th, 2011, 13:11
Category: News, retail

applelogo_silver

You can’t argue with Cyber Monday.

Or free shipping.

Per AppleInsider, Apple on Monday announced that all orders for any product placed at its U.S. online store through Dec. 22 will ship for free, while customers in other countries can also receive free shipping for one day only.

The announcement was made on Apple’s online store on Monday, also known as “Cyber Monday,” or the first Monday following the Thanksgiving holiday in the U.S. Apple does not have any Cyber Monday deals, though it did participate in Black Friday, the largest shopping day of the year, last week.

Apple’s free shipping promotion through Dec. 22 applies only to the U.S., but customers in other countries — including Canada, the U.K., France, and Spain — receive free standard shipping on all orders placed Monday. The free shipping offer in those countries does not extend beyond Monday.

Monday’s free shipping offer does not extend to all other countries. For example, Apple’s official online store in Australia simply advertises that customers can receive free gift wrapping on iPod and iPad purchases through Christmas, on Dec. 25.

Assorted resellers of Apple products also offer Macs and other products at discounted prices with free shipping, including MacMall, MacConnection, B&H, Amazon, Best Buy and DataVision.

Stay tuned for additional details as they become available.

Apple specifies discounts for 2011 Black Friday sales

Posted by:
Date: Wednesday, November 23rd, 2011, 03:01
Category: iPad, iPod, MacBook Air, MacBook Pro, News, retail

applelogo_silver

As mentioned yesterday, Apple will be planning assorted discounts for this year’s Black Friday shopping holiday.

Per 9to5Mac, the discounts are in-line with last year’s prices with only modest discounts on their products. Price drops for their core products are as follows:

iPad 2: US$41 to US$61 Off

iPod nano: US$11 off

iPod Touch: US$21 to US$41 off

MacBook Air: US$101 off

MacBook Pro: US$101 off

iMac: US$101 off

Meanwhile, 3rd party accessories are also seeing some small discounts ranging from US$11-US$101.95 in savings for accessories such as iPad Smart Covers, iPhone battery packs and external hard drives.

These prices should be available for both online and local retail Apple store locations. For those who were planning to purchase from Apple retail anyway, it makes sense to wait until Friday. For those looking for more savings, other online retailers frequently their own Black Friday sales on Apple products as well. Depending on your location, those other online retailers may provide the added advantage of not charge sales tax on online orders. Apple’s online store does charge local sales tax on all orders due to its local presence in every state.

Stay tuned for additional details as they become available.

Apple initiates first-gen iPod nano replacement program, cites occasional battery overheating concerns

Posted by:
Date: Monday, November 14th, 2011, 07:53
Category: iPod Nano, News

Sometimes you just have to make amends.

Per MacRumors, Apple has initiated a replacement program for the first-generation iPod nano due to issues with the device’s battery overheating.

The Cupertino, Calif.-based iPod maker first acknowledged the issue in 2008, offering replacements to customers who experienced overheating. The defect prompted investigations from several international government agencies, including South Korea, Japan and Europe.

In 2010, the trade ministry in Japan ordered Apple to publicize the replacement offer on its Japanese website.

According to the article, Apple began sending out emails to purchasers of the first-generation iPod nano on Friday, notifying them of the replacement program.

“Apple has determined that, in very rare cases, the battery in the iPod nano (1st generation) may overheat and pose a safety risk. Affected iPod nanos were sold between September 2005 and December 2006,” the company wrote. “This issue has been traced to a single battery supplier that produced batteries with a manufacturing defect. While the possibility of an incident is rare, the likelihood increases as the battery ages.”

The company now recommends that users stop using their first-generation iPod nanos and order a replacement. Customers can bring their iPod nanos an Apple Retail Store or an Apple Authorized Service Provider for help securing a replacement. They can also order a new unit via the web. Replacements will take approximately six weeks to arrive.

The fact that the likelihood of overheating increases over time explains why Apple chose to publicize the program now, more than six years after the first affected devices hit the market. iPod-related fire incidents have been reported since as early as 2005, though the Consumer Product Safety Commission ruled several years ago the the incidences weren’t common enough to warrant a full recall.

Apple had previously said that less than 0.001 percent of first-generation iPod nanos experienced the overheating issue, but it has yet to indicate how much that percentage has increased over time.

If you’ve seen this issue on your end or have engaged in the replacement program, please let us know.