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Apple’s Q209 earnings. Recession? What recession? (Updated)

By | April 22, 2009, 12:00pm PDT

Summary: Apple, Inc. (NASDAQ: AAPL) is holding its Q209 earnings conference call with analysts today, 22 April 2009 at 5pm ET, 2PM PT. The call is being streamed via QuickTime from Apple’s investor Web site. Highlights of the results include: Revenue of $8.16 billion, compared to $7.51 billion in the year-ago quarter Net quarterly profit of $1.21 billion, or [...]

Q2 - 2009Apple, Inc. (NASDAQ: AAPL) is holding its Q209 earnings conference call with analysts today, 22 April 2009 at 5pm ET, 2PM PT. The call is being streamed via QuickTime from Apple’s investor Web site.

Highlights of the results include:

  • Revenue of $8.16 billion, compared to $7.51 billion in the year-ago quarter
  • Net quarterly profit of $1.21 billion, or $1.33 per diluted share, compared to $1.05 billion, or $1.16
  • Gross margin was 36.4 percent, up from 32.9 percent
  • International sales accounted for 46 percent of the quarter’s revenue
  • 2.22 million Macs sold during the quarter, a three percent unit decline
  • 11.01 million iPods sold during the quarter, representing three percent unit growth
  • 3.79 million iPhones sold, a 123 percent unit growth

A press release has all the details.

Update: WSJ has a live blog of the call that reads like a transcript.

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Apple Inc., Financial Web Site Seeking Alpha, Financial Accounting, Finance, Jason D. O'Grady

Jason O'Grady is a journalist and author specializing in mobile technology. He has published six books on Apple and mobile gadgets and his PowerPage blog has been publishing for over 15 years.

Disclosure

Jason D. O'Grady

Jason D. O'Grady is the creator and editor of O'Grady's PowerPage, which has been publishing mobile technology news since 1995. He maintains an advertising relationship with the following legacy advertisers on the PowerPage:

  • Amazon Associates
  • Google Adsense
  • Tekserve

    • Advertising on the PowerPage is brokered by a third-party agency (BackBeat Media) and he recuses himself from these negotiations.

Biography

Jason D. O'Grady

Jason D. O'Grady developed an affinity for Apple computers after using the original Lisa, and this affinity turned into a bona-fide obsession when he got the original 128 KB Macintosh in 1984.

He started writing one of the first Web sites about Apple (O'Grady's PowerPage) in 1995 and is considered to be one of the fathers of blogging. He has been a frequent speaker at the Macworld Expo conference and a member of the conference faculty. He also co-founded the first dedicated PowerBook User Group (PPUG) in the United States.

After winning a major legal battle with Apple in 2006, he set the precedent that independent journalists are entitled to the same protections under the First Amendment as members of the mainstream media.

O'Grady is the author of The Nexus One Pocket Guide, The Droid Pocket Guide, The Google Phone Pocket Guide, and The Garmin nuvi Pocket Guide (Peachpit Press), the author of Corporations That Changed the World: Apple Inc. (Greenwood Press), and a contributor to The Mac Bible (Peachpit Press). In addition, he has contributed to numerous Mac publications over the years, including MacWEEK, Macworld, and MacPower (Japan).

When he's not writing about Apple for ZDNet at The Apple Core, he enjoys spending time with his family in New Jersey.

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RE: Apple Q209 earnings conference call
jackson1984-24316069205748857739440257893812 10th Oct
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0 Votes
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I am thinking not too good.
Bruizer 22nd Apr 2009
I am betting they do not meet street expectations.
0 Votes
+ -
Let's say record breaking
Ken_z 22nd Apr 2009
Macs down a small number, iPods up a bit and iPhones up
100+%

Highest sales and profit levels for the Jan - Mar quarter in
Apple's history.

Recession hits Mac sales, but better sales than other
companies.

iPods and iPhone sales more than make up the difference.

Mike Dell goes for a stiff drink as shareholders ask why he
can't do as well as Apple. happy
0 Votes
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iPhones up 123%...
Sleeper Service 22nd Apr 2009
...on a non-event quarter in 2007 where everyone was waiting for the 3G and the iPhone was only available in four countries?

Isn't that a bit meaningless?

0 Votes
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Still largest Jan-Mar Quarter
Ken_z 22nd Apr 2009
Apple reports on Apple's performance with some insight into
different divisions. Compare company to company to see how
they are doing as that is how investors look when about to
spend their money.

So how did Dell do in their divisions?

RIM getting hit by managers & up getting laid off and turning
in their Berries?

So for the first 3 months of 2008, with millions of people being
laid off over the past 9 months, Macs are down only 3%? The
iPhone did increase their market size, but companies like RIM
have gone into those markets with iPhone like offerings. That
consumer market should be a winner for anyone with an
iPhone like device. No excuses.

So look at Apple's profits for the quarter and their increase in
free cash. That's not meaningless.
0 Votes
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I don't care how Dell have done...
Sleeper Service 22nd Apr 2009
...and I think that Apple have done well here.

However the 'up 123%' figure is meaningless.
0 Votes
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To a WinMo lover, yes it would be.
Bruizer 22nd Apr 2009
But figuring everyone is waiting for iPhone OS 3.0 / new hardware in a
month or two...

Compare 2 non event quarters and it means a 123% year over year
growth of a new platform.

Personally, I am amazed that iPhone OS has overtaken a nearly 10 year
platform like WinMo in less than a year.
0 Votes
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I'm not amazed you've made an irrelevant comparison...
Sleeper Service Updated - 23rd Apr 2009
...also, didn't WinMo phones outsell the iPhone last year?

As for WinMo phones, I had an Omnia but swapped it for a Nokia 5800. Nothing wrong with WinMo as such, it was more the lack of a 3.5mm jack and separate charging socket.

Not to bothered about operating systems to be honest - it's what the unit does that appeals to me.
0 Votes
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@Sleeper
Bruizer 23rd Apr 2009
"...also, didn't WinMo phones outsell the iPhone last year?"

iPhone OS devices (about 30 million units) outsold WinMo devices (about
20 million units) last year.

I would say that iPhone outshone Windows CE... I mean WinMo by a good
amount in only a 1 1/2 years.

So again, the 123% YOY is very very relevant. Of course many (like A-H)
will discount any strong showings.
0 Votes
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Compared to a non event quarter in 2009?
Bruizer 22nd Apr 2009
Nope.

BTW, I assume you meant "...on a non-event quarter in 2008"...
0 Votes
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Not completely meaningless...
msalzberg 22nd Apr 2009
but not all that meaningful. More important is the sales number, and
how it compared to forecasts and expectations.
0 Votes
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Apparently not!
comp_indiana 23rd Apr 2009
Besides, everyone is waiting for the next iPhone now. Only the terminally dim
are waiting for any MS or tyipical IT-approved dreck though!

Typical ZD poster, can't see the forrest for the trees.
0 Votes
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3 percent fewer Macs will be spun as Great!
BillDem 23rd Apr 2009
The 3 percent fewer Macs sold will ignored and these numbers will be spun as Apple sales increasing on every Mac site. Apple made more cash, but only because they are making more cash on each Mac now. So, in a time when other companies are passing cost savings on to consumers, Apple made more profit on fewer Macs sold. Good news for stockholders, perhaps. Good news for consumers? Not really.
0 Votes
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3% during a MAJOR recession and a product refresh
James Quinn 24th Apr 2009
period is well pretty darn good. I would say perhaps even to some
FANTASTIC! Apple has NEVER been in the low margin game I don't think
its a shocker that they are not jumping into it now or plan to ever. In fact
I would have too say that being in the solid margin business has proven
to be a very good thing for Apple. I would hazard a guess that if you
were to talk to the CEO's and Stock Holders of other companies like say
DELL that they would KILL to have half the margins of Apple.

Pagan jim
0 Votes
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Try keep up please NBMers
theoxygenthief 23rd Apr 2009
"...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."

http://mediamemo.allthingsd.com/20090422/apple-beats-the-street-guidance-a-bit-light/
0 Votes
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Where's non zealot???
i8thecat 22nd Apr 2009
Where's non zealot???

Is he in bed with a nasty cold??? Is he in the hospital??? Did he get in an accident???

He's usually so quick to troll on these issues...

Wasn't he just laughing about how he predicts Apple is going to tank on the Q209 earnings???

Oh... Perhaps he is at crying like a school girl all alone in his bedroom down in mommys basement...

ROTFLMAO!!!

0 Votes
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He was waiting for MSFT
rynning Updated - 23rd Apr 2009
MSFT announced earnings the day after Apple, so of course he was MIA until after he knew the results. She may be childish, but after over five years of posting on zdnet, he's not as stupid as you think!

By the way, the results? Not good.

From http://blogs.zdnet.com/BTL/?p=16932...

Microsoft's client revenue was $3.4 billion, down from $4.03 billion a year ago. Operating income for the third quarter was $2.5 billion.

Servers and tools revenue was $3.46 billion, up from $3.24 billion a year ago. Operating income was $1.34 billion.

Business division revenue was $4.5 billion, down from $4.73 billion a year ago. Operating income was $2.87 billion.

As usual, Microsoft's online unit lost money. The unit lost $575 million compared to $226 million a year ago. Revenue was $721 million, down from $843 million a year ago.
0 Votes
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RE: Apple Q209 earnings conference call
AllenKenya 23rd Apr 2009
I guess how you look at and respond to this news depends on whether you're looking at it as a Mac user and cheerleader or as one interested in the financial bottom line. It's good news for stockholders.
0 Votes
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RE: Apple Q209 earnings conference call
famulla 23rd Apr 2009
Steve I am buying yuor phone on one condition.
Enough said today, enough cried and wept today, time to ponder the last sentence before I hit the bed made of sisal. May be tomorrow will bring better day. Amen However, I have to notify you . Please my wife is somewhere in Paris, near the Eiffel Tower. I left her there and I have not seen her since 1973. Any one who has the ephone, pphone or dphone WAP, HDTV or anything please inform her I am now married and have five extra wives. You are very kind. The dog was used in the sausage factory.
I thank you
Firozali A. Mulla
0 Votes
+ -
RE: Apple Q209 earnings conference call
jackson1984-24316069205748857739440257893812 10th Oct
Hey, i presume you visited nfljerseys my on the web internet site so i arrived to "return the favour".I am wanting to find important things to boost my site!I suppose its okay to benefit from a few of your suggestions!!

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