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Apple's record quarterly earnings disappoint analysts

Firm's $54bn revenue doesn't impress Wall Street
Thu Jan 24 2013, 10:14
Apple chief executive Tim Cook

GADGET DESIGNER Apple posted record quarterly financial results on Wednesday with revenues topping $54bn, although Wall Street analysts were left unimpressed.

Apple's $54.4bn first 2013 fiscal quarter revenue figure is the best it's ever posted, as is its $13.1bn profit, but the figure fell shy of Wall Street estimates, which saw the firm's share price slip almost 10 percent in after hours trading.

However, we're guessing that Apple isn't too bothered, as it reported sales of 47.8 million iPhones and 22.9 million iPads in the three month period - record sales for both iOS devices. This means Apple sold 10 iOS devices every second over the holiday season.

On a call with press and analysts, Apple CEO Tim Cook moved to dismiss rumours that the company is cutting orders for new hardware shipments out of fear of slowing sales.

Cook said, "I would suggest it is good to to question the accuracy of any kind of rumour about our build plans. Even if a particular data point were factual, it would be impossible to determine what it meant for our overall business because our supply chain is very complex."

"We're thrilled with record revenue of over $54 billion and sales of over 75 million iOS devices in a single quarter," he added.

"We're very confident in our product pipeline as we continue to focus on innovation and making the best products in the world."

It seems that the iPhone and iPad were the driving forces behind Apple's record quarter, as iPods and Macs didn't do as well in the quarter. The company moved just 4.1 million Macs, down from 5.2 million in 2012, and shifted 12.7 million iPods, down from 15.41 million.

However, this might not be a bad thing for the company. IDC tablet research director Tom Mainelli told The INQUIRER that as buyers break up budgets that were once exclusively earmarked for PC spending into tablet and handset purchases, Apple could be in position to pick up customers.

"Ultimately, they would have liked to ship more Macs, but in the end as long as they are selling an Apple product they feel it is a win for them," Mainelli explained.

"Some of the issues that the PC market is having are a lot more complicated than straight up cannibalisation, but there is certainly both usage cannibalisation and there's the idea of consumer spending." µ


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