Apple Business News, , , , , , , — January 25, 2012 1:22 — 0 Comments

Apple doubles its profits to $13.06bn for first quarter

Apple chief executive Tim Cook

Apple chief executive Tim Cook

Apple today (Tuesday) posted record quarterly revenue of $46.33 billion and record quarterly net profit of $13.06 billion, or $13.87 per diluted share. The financial results represent its fiscal 2012 first quarter, which spanned 14 weeks and ended 31 December 2011.

The Cupertino company more than doubled its profits: to $13.06bn (£8.35bn), compared with $6bn for the same quarter in 2010 on revenue of $26.74 billion.

“We’re thrilled with our outstanding results and record-breaking sales of iPhones, iPads, and Macs,” said Tim Cook, Apple’s CEO. “Apple’s momentum is incredibly strong, and we have some amazing new products in the pipeline.”

Record sales of iPhones and iPads resulted in record profits for the company, the results were the first since the death in October of its co-founder, Steve Jobs.

Apple’s news made it one of the most profitable quarters ever for any US company, trailing only ExxonMobil’s record-setting $14.8 billion quarter in autumn 2008, when oil prices were at an all-time high.

The result easily beat analysts’ forecasts, taking pressure off the chief executive, Tim Cook, handpicked by Jobs as his successor. Last October Apple shares recorded their biggest single-day dollar drop after iPhone sales missed their forecast, the Guardian reports.

In record sales across nearly all product categories, Apple sold a record 15.43m iPads over the quarter, more than double a year ago. It sold 5.2m Macs during the quarter, a 26% unit increase.

Cook told analysts that tablets would prove to be a huge market; they had already surpassed sales of desktop PCs in the US. He was dismissive of competition in the tablet market, including Amazon’s far cheaper, if less powerful, Kindle Fire. “I don’t think limited function tablets are in the same category,” he said. “Last year was supposed to be the year of the tablet; and I think that most people will agree it was the year of the iPad, for the second year in a row.

“I think it’s remarkable that we’ve shifted 55m iPads, and we’ve only been in the market since April 2010.”

Apple is sitting on most of those profits, and has accumulated $97.6 billion in cash.

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Tony Myers has written 866 articles for Smart Movie Making

Fooling around with the iPhone since 2010. Taking it to the next web by writing about new media, new technology, new wave cinema and the digital revolution.

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