Apple Exceeded Expectations but Lost Earnings

Apple is still a machine to earn money



Forecasts of Apple’s results for the first quarter of 2013 (Q2 in the U.S. fiscal year) were shady. Even if they were no so, in the report of results, released on Tuesday, there was worrying news for the Apple firm as for the first time in a decade, earnings declined as compared to the same quarter last year.

Earnings for the quarter were $9.5 billion. However, in Q2 2012, earnings were $11.6 billion. Meanwhile, revenue was totaled $43.6 billion in the period. Wall Street estimated that profits would be $41.82 billion and Apple had published expectations around $41 billion.

With respect to Q2 2012, the figures indicate that there was growth in sales



iPhone sales were down over the previous quarter. According to the report, it sold 37.4 million phones and 19.5 million iPads in the period. In Q1, the figures were 47.8 million iPhones and 22.9 million iPads, which indicate fallen footpaths of 22% and 18%.

When compared with the previous quarter that included the holiday season, the numbers go down. But with respect to Q2 2012, the figures indicate that there was growth in sales. In iPhone, sales were up 7% year on year (with sales of 35.1 million phones in that period), while the iPad is climbed by 65% (with sales of 11.8 million tablets in that quarter).

The company also said that it sold nearly 4 million Macs in the quarter.

The stock closed on Tuesday with a slight rise of 1.84% and came to 406 dollars



Although they are not good numbers (a modest growth of 7% from year to year is not nothing to celebrate), nor are the "disastrous results" that some expected. Analysts attributed the fall of the action, which spent $700 to less than 400 in six months, to the bad pace of sales of the iPhone, something that was not confirmed but neither denied at all.

"We recognize that our growth has slowed", admitted Tim Cook, President of Apple. "The fall in the price of the stock has been very frustrating for all of us", confessed to the Executive to refer to the behavior of his company on the stock exchange, but also said that "the key behind the strength of Apple has always been creating innovative products that will always be under the control of Apple".

The stock closed on Tuesday with a slight rise of 1.84%, and came to 406 dollars. Contributions after the closure of the stock exchange rose an additional 5.5% up to 420 dollars, which slowly moves far from the psychological barrier of 400 dollars.
Create & Share Websites & Blog
Top Stories