Apple Reports Q3 Earnings
Apple reported Q3 earnings today. We have some details.
Apple reported Q3 earnings today. They were very strong, with sales up to $35.0 billion and net profit of $8.8 billion, compared to $28.6 billion sales and $7.3 billion net profit in Q3 last year. Gross margins improved from 41.7% in Q3 last year to 42.8% this year. iPad shipments hit a record 17 million units this Q3, up 84% from last year’s Q3. The stock closed at $601.92, down $2.91/0.48% as the street expected higher sales and profits. Here is the Apple press release:
Apple Reports Third Quarter Results
17 Million iPads Sold
Board Declares Quarterly Dividend of $2.65 per Common Share
CUPERTINO, California—July 24, 2012—Apple® today announced financial results for its fiscal 2012 third quarter ended June 30, 2012. The Company posted quarterly revenue of $35.0 billion and quarterly net profit of $8.8 billion, or $9.32 per diluted share. These results compare to revenue of $28.6 billion and net profit of $7.3 billion, or $7.79 per diluted share, in the year-ago quarter. Gross margin was 42.8 percent compared to 41.7 percent in the year-ago quarter. International sales accounted for 62 percent of the quarter’s revenue.
The Company sold 26.0 million iPhones in the quarter, representing 28 percent unit growth over the year-ago quarter. Apple sold 17.0 million iPads during the quarter, an 84 percent unit increase over the year-ago quarter. The Company sold 4.0 million Macs during the quarter, a two percent unit increase over the year-ago quarter. Apple sold 6.8 million iPods, a 10 percent unit decline from the year-ago quarter.
Apple’s Board of Directors has declared a cash dividend of $2.65 per share of the Company’s common stock. The dividend is payable on August 16, 2012, to stockholders of record as of the close of business on August 13, 2012.
“We’re thrilled with record sales of 17 million iPads in the June quarter,” said Tim Cook, Apple’s CEO. “We’ve also just updated the entire MacBook line, will release Mountain Lion tomorrow and will be launching iOS 6 this Fall. We are also really looking forward to the amazing new products we’ve got in the pipeline.”
“We’re continuing to invest in the growth of our business and are pleased to be declaring a dividend of $2.65 per share today,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the fourth fiscal quarter, we expect revenue of about $34 billion and diluted earnings per share of about $7.65.”
According to the NASDAQ quote service, Apple’s market capitalization (outstanding shares times price per share) is about $562 billion. Of the 40 analysts currently evaluating Apple, 39 recommend it as a Strong Buy or Buy with one recommending a Hold. The consensus target price in the next year is $750, so these analysts are seeing upside.
How about you…did you contribute to Apple’s strong quarter?Apple Reports Q3 Earnings