Apple reports Q4 revenues of US$28.3bn, profits of US$6.6bn

18 Oct 2011

Apple CEO Tim Cook

Apple’s Q4 revenues of US$28.3bn signal it achieving a fiscal 2011 of more than US$100bn. However, it fell short of Wall Street expectations of US$29.5bn, yielding investors US$7.05 a share – the first time Apple has fallen short of earnings expectations in several years.

But despite investor reaction that saw company stock fall 8pc in after-hours trading, Apple is still a company in rude health.

Apple posted quarterly revenue of US$28.27bn and a quarterly net profit of US$6.62bn, or US$7.05 per diluted share. These results compare to revenue of US$20.34bn and net quarterly profit of US$4.31bn, or US$4.64 per diluted share, a year ago.

“We are thrilled with the very strong finish of an outstanding fiscal 2011, growing annual revenue to US$108bn and growing earnings to US$26bn,” said Tim Cook, Apple’s CEO on the first financial results since the passing of co-founder and chairman Steve Jobs a fortnight ago.

“Customer response to iPhone 4S has been fantastic, we have strong momentum going into the holiday season, and we remain really enthusiastic about our product pipeline.”

Gross margin was 40.3pc compared to 36.9pc in the year-ago quarter. International sales accounted for 63pc of the quarter’s revenue.

Apple sells 17m iPhones and 11m iPads

Apple sold 17.07m iPhones in the quarter, representing 21pc unit growth over the year-ago quarter.

Apple sold 11.12m iPads during the quarter, a 166pc unit increase over last year.

The company sold 4.89m Macs during the quarter, a 26pc unit increase year-on-year. Apple sold 6.62m iPods, a 27pc unit decline from last year.

“We are extremely pleased with our record September quarter revenue and earnings and with cash generation of US$5.4bn during the quarter,” said Peter Oppenheimer, Apple’s CFO.

“Looking ahead to the first fiscal quarter of 2012, which will span 14 weeks rather than 13, we expect revenue of about US$37bn and we expect diluted earnings per share of about US$9.30,” Oppenheimer said.

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years