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	<title>AllThingsD &#187; iPpod</title>
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		<title>Apple Beats the Street; Guidance a Bit Light</title>
		<link>http://allthingsd.com/20090422/apple-beats-the-street-guidance-a-bit-light/</link>
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		<pubDate>Wed, 22 Apr 2009 20:37:39 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=6543</guid>
		<description><![CDATA[First quick look at Apple's earnings: Tim Cook and company have beaten the Street's expectations. Apple earned $1.33 per share on revenues of $8.16 billion, beating the consensus of $1.09 and $8 billion. It also outperformed estimates for sales of the Mac, iPod and iPhone. At first glance, a strong quarter. But guidance for the next quarter may be a bit less than what  Wall Street was looking for.]]></description>
			<content:encoded><![CDATA[<p>First quick look at <a href="http://finance.yahoo.com/news/Apple-Reports-Second-Quarter-prnews-15002873.html?.v=1">Apple&#8217;s earnings</a>: Tim Cook and company have beaten the Street&#8217;s expectations. Apple earned $1.33 per share on revenue of $8.16 billion, beating the consensus of $1.09 and $8 billion. The company also outperformed estimates for sales of the Mac, iPod and iPhone. At first glance, a strong quarter. But guidance for the next quarter may be a bit less than what  Wall Street was looking for, which is fairly standard for the company.</p>
<p>Next up: The company&#8217;s earnings call, where investors will be looking for more information about a product line refresh, Steve Jobs&#8217;s health and any other info the typically closemouthed company dribbles out. <a href="http://mediamemo.allthingsd.com/20090422/live-apple-earnings-call/">I&#8217;ll be covering that live at a separate post at 5 p.m. Eastern</a>.</p>
<p>Relevant unit sales: &#8220;Apple sold 2.22 million Macintosh computers during the quarter, representing a three percent unit decline from the year-ago quarter. The Company sold 11.01 million iPods during the quarter, representing three percent unit growth over the year-ago quarter. Quarterly iPhone units sold were 3.79 million representing 123 percent unit growth over the year-ago quarter.&#8221;</p>
<p>Here&#8217;s what that looks like if you break it down (click to enlarge):</p>
<p><img rel="lightbox" class="alignnone size-full wp-image-6552" title="apple-unit-sales-chart" src="http://mediamemo.allthingsd.com/files/2009/04/apple-unit-sales-chart.png" alt="apple-unit-sales-chart" width="350" height="218" /></p>
<p>Earlier today, <a href="http://mediamemo.allthingsd.com/20090422/att-iphone-business-slower-still-strong/">AT&amp;T (T) said it had shipped 1.6 million iPhones this quarter</a>, down a bit from the previous three months.</p>
<p>Here, from Silicon Alley Insider&#8217;s <a href="http://www.businessinsider.com/apple-earnings-preview-2009-4">Dan Frommer</a>, is what the Street was looking for:</p>
<ul>
<li>March quarter revenue: $7.69 billion consensus (6% y/y growth)</li>
<li>March quarter EPS: $1.09 consensus</li>
<li>March quarter GM: 32.5% guidance, 33.6% RBC estimate</li>
<li>March quarter Mac shipments: 2.1 million consensus</li>
<li>March quarter iPod shipments: 10 million consensus</li>
<li>March quarter iPhone shipments: 3.3 million consensus (some analysts at 3.7 million)</li>
<li>June quarter revenue: $8.28 billion consensus (11% y/y growth), guidance could be $7.8-$8.1 billion</li>
<li>June quarter EPS: $1.12 consensus, guidance could be 92 cents-$1.02</li>
<li>June quarter GM: 33% consensus, guidance could be 30.5%-31.5%</li>
</ul>
<p>Press release excerpt:</p>
<blockquote class="memo"><p>CUPERTINO, Calif., April 22 /PRNewswire-FirstCall/ &#8212; Apple® today announced financial results for its fiscal 2009 second quarter ended March 28, 2009. The Company posted revenue of $8.16 billion and a net quarterly profit of $1.21 billion, or $1.33 per diluted share. These results compare to revenue of $7.51 billion and net quarterly profit of $1.05 billion, or $1.16 per diluted share, in the year-ago quarter. Gross margin was 36.4 percent, up from 32.9 percent in the year-ago quarter. International sales accounted for 46 percent of the quarter&#8217;s revenue.</p>
<p>In accordance with the subscription accounting treatment required by GAAP, the Company recognizes revenue and cost of goods sold for iPhone(TM) and Apple TV® over their estimated economic lives. Adjusting GAAP sales and product costs to eliminate the impact of subscription accounting, the corresponding non-GAAP measures* for the quarter are $9.06 billion of &#8220;Adjusted Sales&#8221; and $1.66 billion of &#8220;Adjusted Net Income.&#8221;</p>
<p>Apple sold 2.22 million Macintosh® computers during the quarter, representing a three percent unit decline from the year-ago quarter. The Company sold 11.01 million iPods during the quarter, representing three percent unit growth over the year-ago quarter. Quarterly iPhone units sold were 3.79 million representing 123 percent unit growth over the year-ago quarter.</p>
<p>&#8220;We are extremely pleased to report the best non-holiday quarter revenue and earnings in our history,&#8221; said Peter Oppenheimer, Apple&#8217;s CFO. &#8220;Apple&#8217;s financial condition remains very robust, with almost $29 billion in cash and marketable securities on our balance sheet. Looking ahead to the third fiscal quarter of 2009, we expect revenue in the range of about $7.7 billion to $7.9 billion and we expect diluted earnings per share in the range of about $.95 to $1.00.&#8221;</p>
<p>Apple will provide live streaming of its Q2 2009 financial results conference call utilizing QuickTime®, Apple&#8217;s standards-based technology for live and on-demand audio and video streaming. The live webcast will begin at 2:00 p.m. PDT on April 22, 2009 at www.apple.com/quicktime/qtv/earningsq209/ and will also be available for replay for approximately two weeks thereafter.</p></blockquote>
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