iPod gives Apple real bite

14 Apr 2005

Once-ailing computer maker Apple has reported a record set of results for its fiscal second quarter driven largely by runaway sales of its iPod digital music player.

In the second quarter ended March 26, 2005 the California-based company posted a net profit of $290m compared to $46m in Q2 2004 – a sixfold increase. Revenue for the quarter was $3.24 billion, up 70pc, while gross margin rose to 29.8pc from 27.8pc.

The company shifted 1.07m Macs and 5.3m iPods during the quarter, representing a 43pc increase in desktops/notebooks and a 558pc increase in iPods on the previous year.

“We’re very pleased to report 70pc revenue growth and a 530pc increase in net income,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the third quarter of fiscal 2005, we expect revenue of about $3.25 billion and earnings per diluted share of about $0.28.”

CEO Steve Jobs commented: “Apple is firing on all cylinders and we have some incredible new products in the pipeline for the coming year, starting with Mac OS X Tiger later this month.”

By Brian Skelly