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 Profits Soar 425%; Mac Sales Up 35% [UPDATE]

Apple Profits Soar 425%; Mac Sales Up 35% [UPDATE]

by , 5:00 PM EDT, July 13th, 2005

Apple Computer announced a record quarter today in terms of both sales and profits. The company reported sales of US$3.52 billion, with profits clocking in at $320 million, or $.37 per diluted share. These results compare to a net profit of $61 million, or $.08 per diluted share, and revenue of $2.01 billion in the year-ago quarter. All told Apple's profits rose 425 percent over the year ago quarter, while sales increased 75 percent.

Mac unit sales were 1.182 million, up 35% over the year ago period, and more Macs than Apple has shipped in a quarter in the last four years.

Apple also shipped 6.155 million iPods, which represents a 616 percent jump over the year ago period. This represents another record for the company in terms of units shipped.

"We are delighted to report Apple's best quarter ever in both revenue and earnings," said Apple CEO Steve Jobs in a statement. "The launch of Mac OS X Tiger has been a tremendous success, and we have more amazing new products in the pipeline."

"We're very pleased to report 75 percent revenue growth and a 425 percent increase in net income," said Peter Oppenheimer, Apple's CFO. "Looking ahead to the fourth quarter of fiscal 2005, we expect revenue of about $3.5 billion and earnings per diluted share of about $.32."

In the company's conference call, Peter Oppenheimer said that Tiger represented $100 million in sales, which is the biggest quarter for OS sales in the company's history.

Gross margin was 29.7 percent, up from 27.8 percent in the year-ago quarter. The large jump in margins came in part from the record software sales, where margins are significantly higher than with hardware sales.

The company said that international sales accounted for 39 percent of the quarter's revenue.

The Mac Observer will be following up this story with a detailed report on the company's conference call.


If you are interested in Apple's stock, join our forum members in the Apple Finance Boards, a moderated forum for Apple Investors and people who are interested in Apple's financial dealings. For other stories regarding Apple's stock activity, visit our updated Apple Stock Watch Special Report.

Recent Headlines - Updated April 20th

Sat, 9:02 PM
3 Free iOS Apps To Unleash the Music In You
10:30 AM
Yet Another 25 Tips for Mastering iPhone Photography
Fri, 7:25 PM
Look Out Apple Haters, Android’s Monopoly on Large Screens Will End
5:20 PM
Why Apple Didn’t Try to Copy Google Glass
4:30 PM
Menu Bars Of The Stars
4:12 PM
How to Streamline System Preferences on Your Mac
2:56 PM
Microsoft Pilot Program Allows Developers to Respond to App Reviews
1:15 PM
Tavik’s Zippered Folio Case for iPad Air is Built for Travel
1:13 PM
Apple Maps Misses Your Coffee Shop, but Finds Loch Ness Monster
12:55 PM
Online Privacy: Track Which Apps Access Your Personal Information
10:56 AM
Judge Denies Rockstar Consortium’s Bid to Move Google Patent Fight to Troll Town
9:25 AM
Dropbox gets Deeper into Photo Management with Loom Purchase
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!