Apple: expectations beaten with strong iPhone sales
April 25th, 2012 - 09:10 am ET by J. G.
Apple has handed in better than expected results. 35.1 million iPhone’s and 11.8 million iPad’s were sold in the first quarter.
Apple’s results will certainly relieve a few concerned people. These concerns were seen over the last few weeks after Apple’s share price saw a significant fall after reaching a record 644 dollars in early April (see our news).
By publishing their second quarter results (closed on the 31st of March), Apple has responded to numerous rumours and doubts that had begun to circulate around the market by handing down better than expected results.
Apple announced earnings of 39.2 billion dollars. This is less than the previous quarter but is nevertheless a 59% increase over the corresponding period a year earlier. Analysts estimated earnings of 36.9 billion dollars. Net earnings were 11.6 billion dollars compared to 6 billion dollars a year ago, almost double their previous result.
Apple sold 35.1 million iPhone’s – an 88% increase over a year ago. Interestingly it was in this field that concerns were strongest. American carriers AT&T and Verizon had seen a reduction in the number of iPhone’s being activated. When talking to Reuters, Apple’s director of finance declared that "international sales of the iPhone have exploded". The launch of the iPhone 4S in China has surely helped in this explosion.
For iPad sales, Apple shipped 11.8 million tablets – a 151% improvement over the same period last year. This is still below analysts’ estimations of 12 million iPad’s sold.
Apple CEO Tim Cook believes that the new iPad launched in early March has seen a promising beginning, stating "right throughout the year, you will see all kinds of innovations that Apple is capable of". It’s especially the iPhone 5 that is expected, most likely being released in the autumn.
It should be noted among the other sales were 4 million Mac computers (+7% compared to last year) and even 7.7 million iPod’s. For Apple’s portable music player, sales were down 15% compared to a year ago.