Apple's Q1 revenue grows, but Mac sales fall
IPhone and iPad sales grew
IDG News Service - Apple's revenue grew but profit was flat in its first fiscal quarter of 2013, during which sales of iPhones and iPads rose, but Mac and iPod shipments dropped.
Apple reported a net profit of $13.1 billion for the quarter ended Dec. 29, matching the profit reported in 2012's first fiscal quarter. Earnings per share were $13.81, which was higher than the consensus estimate of $13.47 from analysts polled by Thomson Reuters.
The company reported revenue of $54.5 billion, up from $46.3 billion year on year.
Sales of Mac computers and iPods fell during the quarter. Mac sales totaled 4.1 million, dropping from 5.2 million. The fall in Mac shipments comes amid struggles in the personal computer market. Worldwide PC shipments fell by 6.4% during the fourth calendar quarter of 2012 compared to the same quarter in 2011, according to research firm IDC.
IPod shipments fell to 12.7 million units compared to 15.4 million units in the year-ago quarter.
Apple blamed a shorter, 13-week quarter and a shortage of new iMacs for the lower Mac shipments. Apple announced iMacs with 21.5-inch and 27-inch screens in October, but shipments started only later in the quarter as supplies of the all-in-one desktop systems were constrained.
IMac shipments were down by 700,000 units year over year, and sales would have been stronger had the computers become available sooner, said Tim Cook, Apple's CEO, during a conference call.
Cook also acknowledged that a weakness in the PC market may have had an effect on Mac shipments, and that growth in iPads also hurt Mac shipments to a limited extent.
Apple sold 47.8 million iPhones during the first quarter, growing from 37 million. Apple sold 22.9 million iPads, growing from 15.4 million.
Apple now offers two iPads -- the fourth-generation iPad with a 9.7-inch screen and the iPad Mini with a 7.9-inch screen. Apple did not provide a breakdown of specific sales related to each iPad model, but there have been concerns among analysts that the iPad Mini sales are affecting the fourth-generation iPad sales. Apple shipped the new iPad models in early November and announced it had sold 3 million units in the first three days.
Apple executives did not break down iPad and iPad Mini shipments. However, Cook said demand for both products was strong.
"For last quarter we had strong sales of iPad and iPad Mini," Cook said, avoiding any breakdown between the products that might have shown the less expensive Mini stealing sales from the iPad.
The supplies of iPad Mini tablets will remain constrained, and the company ended the quarter with a backlog of orders, said Peter Oppenheimer, Apple's chief financial officer, during the call.
- Apple hands stock worth $12.1M to top execs in retention deal
- Hands on: Apple's Mac Pro is the fastest Mac ever
- Apple CFO to retire in September after he cashes in $53M stock award
- Apple's CarPlay to spark mobile apps war in your car
- Apple retires Snow Leopard from support, leaves 1 in 5 Macs vulnerable to attacks
- Apple patches critical 'gotofail' bug with Mavericks update
- Why Apple needs a $700 MacBook Air
- Apple takes top spot in brand value computation
- Apple gets a patent for health-monitoring ear buds
- Apple shifts to hardware-first TV strategy with revamped set-top box
- Best iPhone, iPad Business Apps for 2014
- 14 Tech Conventions You Should Attend in 2014
- 10 Desktop Apps to Power Your Windows PC
- How to Add New Job Skills Without Going Back to School
- Slideshow: 7 security mistakes people make with their mobile device
- iOS vs. Android: Which is more secure?
- 11 sure signs you've been hacked
- 4 Customers who never have to refresh their PCs again This paper illustrates a common theme: the combination of desktop virtualization and thin client computing helps organizations deliver an up-to-date user experience more...
- Mobile Devices: The New Thin Clients Get essential guidance for understanding the role thin clients plus virtual desktops play in the enterprise today.
- Taking Windows Mobile on Any Device Taking Windows applications mobile has many advantages, but the process of identifying a solution is complex. Learn how to solve this complex problem...
- PaaS - Powering a New Era of Business IT Why PaaS has suddenly become relevant and irresistible to many organizations. Dive into the opportunities and considerations associated with using PaaS from an...
- Redefine Your IT Operations: Remote Office IT Has Never Been Simpler Join us to see why PC Pro named Dell PowerEdge VRTX the "2013 Server of the Year." PowerEdge VRTX may be just what...
- Webinar: Building a Big Data solution that's production-ready Big data solutions are no longer just a nice-to-have. All Hardware White Papers | Webcasts