The Mac Observer

Skip navigational links

You're viewing an article in TMO's historic archive vault. Here, we've preserved the comments and how the site looked along with the article. Use this link to view the article on our current site:
Apple Posts $4.37 Billion Revenue, 8.1 Million iPods Sold [UPDATED]

Apple Posts $4.37 Billion Revenue, 8.1 Million iPods Sold [UPDATED]

by , 4:45 PM EDT, July 19th, 2006

Apple on Wednesday said that it earned profit of US$472 million, or $0.54 per share, on $4.37 billion in revenue for the previous fiscal quarter. The company also said that it sold 8.1 million iPods and 1.327 million Macs, numbers that were up 32% and 12%, respectively, from the year-ago quarter. The quarter ended July 1 was the third of its 2006 fiscal year.

Apple's revenue and earnings constituted the second highest in its history. In the year-ago quarter, Apple's revenue was $3.52 billion and net profit was $320 million, or $0.37 per share. Gross margins in the past quarter were 30.3%, up from 29.7% in the year-ago quarter. Apple also noted that international sales were 39% of its revenue last quarter.

As of 5:07 PM EST in after-hours trading, Apple's stock was selling for $58.33, up $4.23, or 7.82%. It closed the regular trading day at $54.10, up $1.20, or 2.27%.

"We're thrilled with the growth of our Mac business, and especially that over 75 percent of the Macs sold during the quarter used Intel processors. This is the smoothest and most successful transition that any of us have ever experienced, " said Apple CEO Steve Jobs said in a press release. "In addition, iPod continued to earn a US market share of over 75 percent and we are extremely excited about future iPod products in our pipeline."

Apple CFO Peter Oppenheimer said in the same press release that the company expects $4.5 to $4.6 billion in revenue for the current quarter, which will conclude at the end of September. Earnings will be $0.46 to $0.48, which he said will include $0.03 expense from non-cash stock-based compensation.

Apple also used its announcement to address the internal investigation into certain stock option grants between 1997 and 2001, including one made to Mr. Jobs. The company said: "At this time, based upon the irregularities identified to date, management does not anticipate any material adjustment to the financial results included in this earnings release. However, if additional irregularities are identified by the independent investigation, a material adjustment to the financial information could be required." Most analysts expect minimal, if any, financial impact from the investigation.

TMO will be covering the company's 5:00 PM EST earnings call and will provide more color from analysts' and executives' comments.

Recent Headlines - Updated August 3rd

Mon,8:41 PM
Apple Reportedly Testing MVNO Carrier Service in U.S.
8:04 PM
Apple Buys 43 Acres in San Jose, Enough to Turn Spaceship HQ into a Fleet
6:02 PM
Apple’s ‘Ecosystem’ Developer Video
5:05 PM
Griffin’s WatchStand for Apple Watch is Beautiful, Full of Features
4:15 PM
TigerVPN Lite Lifetime Subscription: $29
1:31 PM
TMO Daily Observations 2015-08-03: Apple, BMW and Cars, Plus an iPhone Hologram Projector
11:17 AM
How to Turn Your iPhone into a Hologram Projector
9:40 AM
Siri Wants to Transcribe Your Voicemails
Sun,12:02 PM
MGG 564: Wave a Minty-Fresh Rubber Chicken Over It
Sat,10:30 AM
Rachio Iro - The Smart Sprinkler Controller
Fri,10:00 PM
Apple Has Starring Role in New Crypto War
5:40 PM
How to Create Signatures in Mail.app in iOS and OS X
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!