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 TMO Headlines - Updated August 7th

Thu, 5:53 PM
Twitter Pushed iPhone Update Notes on Limiting Who Can Reply by Mistake
Thu, 5:41 PM
Shot on iPhone - Academy Award Winner Damien Chazelle Creates Vertical Cinema
Thu, 3:47 PM
20GB Intel Data Leak Spread on Twitter Includes Source Code
Thu, 3:20 PM
Snapchat Voting Tools to Appear in September
Thu, 2:15 PM
Amazon Alexa App on iPhone Gets Major Revamp
Thu, 1:40 PM
macOS Big Sur Public Beta Now Available
Thu, 1:34 PM
Stars Head to TV+, Apple Music Goes Gaga – TMO Daily Observations 2020-08-06
Thu, 1:21 PM
Apple Seeds iOS 14 Public Beta 4 for Customers
Thu, 12:33 PM
Harry Potter Movies Heading to Peacock
Thu, 11:56 AM
More Chinese Apps Could be Banned From App Store in U.S.
Thu, 11:26 AM
Former Arm President Warns Against Sale
Thu, 8:49 AM
Apple TV+ is Suddenly Very Appealing to The Superstars of TV And Film
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Daily Observations
  • TMO on Twitter!