Bad news for Apple: just the $8.8bn in profits this time around

Bad news for Apple: just the .8bn in profits this time around

It ain't easy being Apple these days. Turn over $35bn in revenue in just three months, raking in profits of $8.8bn, and what do they say? “Growth slowdown”, “earnings miss” and “below expectations”.

Talk about the kind of criticism you can live with!

The negative talk was based around the fact that those massive profits amounted to earnings per share of $9.32, not the $10.37 analysts were hoping for.

As far as missed estimates go, it's quite a big miss, though expectations surrounding Apple are so high these days it's hard to keep things realistic. It's worth pointing out that the figures actually exceeded Apple's own forecasts very slightly (though there's a certain amount of deliberate underplay there too).

In terms of device sales, any disappointments were clearly the result of a massive drop in iPhone sales – from 35 million the previous quarter to just 26m this time around. That's obviously down to iPhone 5 expectations, so in a sense the bigger the loss right now, the bigger the explosion we're likely to see in the next set of figures.

iPad sales, meanwhile, hit an all-time high of 17 million, and overall it allowed Apple to issue a $2.65 per share stock dividend for Q3. Oh, and the company has $117bn in cash reserves.

Ah, the disappointment...

Via The Verge

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6 comments

Treab  Jul. 25, 2012 at 10:41

jeez martin your supposed to be posting samsung information your not a very good fanboi are you ;)

TJ Skywasher  Jul. 25, 2012 at 12:07

A lot of people held off buying new Macs and iPhones so it was bound to be slightly disappointing in some respects. Hopefully the next quarter will more than make up for that if we have a load of new products released.

JanSt / MOD  Jul. 25, 2012 at 12:09

It happens every single time when a new iPhone is on the horizon. Oh, oops, Martin said that.

Pondlife  Jul. 25, 2012 at 15:10

If the new iphone launches in october as expected there's another quarter where they could disappoint yet then.

matt101101 / MOD  Jul. 25, 2012 at 22:03

If the new iphone launches in october as expected there's another quarter where they could disappoint yet then.
That's what I thought, as October is month 1 of Q4.

martinjjames / MOD  Jul. 27, 2012 at 09:23

If the new iphone launches in october as expected there's another quarter where they could disappoint yet then.
That's what I thought, as October is month 1 of Q4.


Hmmm, that's true now that you mention it.

If that's the way it's gotta be *sigh* :3

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