Skip to comments.Apple profit surges 95 percent on iPod sales
Posted on 01/18/2006 6:12:19 PM PST by Panerai
Apple Computer reported a 95 percent rise in quarterly profits on exploding sales of its iPod music players, and notched more than one billion dollars in sales through its retail stores. ADVERTISEMENT
Apple s stock, though, fell in after-hours trading because Apple offered a forecast that fell short of Wall Street estimates.
Apple reported net income of 565 million dollars, or 65 cents a share, for the first fiscal quarter to December 31, up from 295 million a year earlier. The report beat analyst forecasts of a profit of 55 cents per share.
Sales rose 64 percent to 5.75 billion dollars. Chief executive Steve Jobs disclosed Apple's quarterly revenue result January 10 at the Macworld conference in San Francisco.
Consumers snapped up 14 million iPod devices during the holiday quarter, and Apple has now sold more than 40 million since late 2001. The groundbreaking product has transformed Apple from a niche PC maker into the leading purveyor of digital media.
Apple also sold 1.25 million Macintosh computers during the quarter, a figure that was up 20 percent from the year-earlier figure. Apple is in the process of transitioning its Mac line to Intel rocessors, and it expects to have all of its PCs running on Intel chips by the end of this year.
"We are thrilled to report the best quarter in Apple's history," said Jobs.
(Excerpt) Read more at news.yahoo.com ...
Fad or not, ipods are here to stay.
As an ex-Microsoft Borg, I say Kudos to Apple. But I'm not giving up my PC until Macs are cheaper.
I just bought the iPod Shuffle. Neat little player, great sound and about the size of a pack of gum.
"Fad or not, ipods are here to stay."
Cellphones will quickly become a "do everything" device. Hell, my cellphone which is going on 2 year old technology does everything an ipod does, full pda, gps, internet browser, etc, and watch TV if I paid for the service.
Ipods are just a fad.
BTW, the Treo 650 is one AWESOME phone.
I'm a BIG fan ... but the earnings came in under expectations. Stock way down in the after market. :(
Ipods will evolve... they are not a fad..
I think that the Apple name - even if it isn't the best technology - and a number of other factors mean the iPod is here to stay.
I just bought an iPod video last week (having already had a Shuffle and a 2Gen model) and, I've just got to say, I love the thing.
The biggest things Apple has going for it are:
2) Name recognition.
I bought my first iPod because, having used iTunes to buy stuff, it was the easiest way to export it to an MP3 player.
My iPod video also serves as a sort of PVR (I bought their damned proprietary video cable), it's just great.
Apple is working on iPhone. Stay tuned...
I have heard rumors
Google is going to team
with Apple and make
some kind of add-on
to the iPod that cheaply
will turn the iPod
into a whiz-bang
do-everything web browser
and everything else . . .
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I bought the Creative Zen Sleek, 20GB for the same price as the iPod Nano.
Works great, and I didn't give commie Jobs a red cent. Love it.
LOL, that's why a market economy is so wonderful.
Posting from a 650 right now.
I can tell you I turned off my Reuters machine 2 hours after the closing bell. Apple was trading in the 77 to 78 range. From Investor's Business Daily (which I also used to work for):
Apple's stock fell 3% to 82.49 in trading Wednesday, ahead of the earnings release. It tumbled another 4% in after-hours trading following the report.
Posting on a Treo 650 right now.
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