Apple Inc blew past Wall Street expectations on Wednesday, posting quarterly profits that jumped 88 percent, fueled by strong sales of its iPod players and Macintosh computers.
Shares of Apple soared more than 6 percent on the news, reaching above US$100 for the first time.
In the first three months of the year, the Cupertino-based company said it earned US$770 million, or US$0.87 per share, up from US$410 million, or US$0.47 per share, in the year-ago period.
Sales were US$5.26 billion, up 21 percent from US$4.36 billion last year.
Analysts, on average, were looking for earnings of 64 cents per share on sales of US$5.17 billion, according to a poll by Thomson Financial.
Apple said it shipped 1.5 million Macintosh computers and more than 10.5 million iPods during the quarter, representing a 36 percent growth in Macs and 24 percent growth in the music players.
Sales from its market-leading iPods and other music-related products accounted for 44 percent of the quarter's total revenue.
"We are very pleased to report the most profitable March quarter in Apple's history," said Peter Oppenheimer, Apple's chief financial officer.
Helped by favorable component price drops, notably in memory parts, Apple achieved gross margins of more than 35 percent, up from about 30 percent in the quarter a year ago.
Oppenheimer, however, cautioned analysts during a conference call that such high margins were likely "not sustainable."
He predicted gross margins of 32 percent for the current quarter.
The company said it expected revenue of about US$5.1 billion and earnings per share of about 66 cents in the current quarter, which is the third in Apple's fiscal year. Apple's projections are actually lower than the forecasts Wall Street had before Wednesday, but analysts say Apple's forecasts are typically conservative.
Expectations for the iPhone are continuing to run high, and analysts pressed Apple executives for details on Wednesday. Company officials refused to predict the number of units that would be available at launch in late June.
‘HERO OF THE ERA’: President Tsai Ing-wen expressed deep sadness at Lee’s passing, and told the government to assist his family with all their needs Former president Lee Teng-hui (李登輝) passed away at 7:24pm yesterday at Taipei Veterans General Hospital. He was 97 years old. The hospital stated the cause of death as septic shock and multiple organ failure. Lee had been hospitalized there since February, when he choked on a mouthful of milk at home. He was later diagnosed with pulmonary infiltrates and aspiration pneumonia. The hospital said that Lee had been treated with antibiotics, but that his health had not improved, as his advanced age and diabetes had inhibited his immune system and led to recurring infections. During his hospitalization, Lee underwent daily kidney dialysis, which removed
‘WEAK POSITIVE’: The man arrived in Taiwan in May and was quarantined for two weeks, Chen Shih-chung said, adding that he might be infected a long time ago The government is considering tightening mask-wearing rules again in light of a potential domestic COVID-19 infection, Minister of Health and Welfare Chen Shih-chung (陳時中) said yesterday. The Central Epidemic Command Center (CECC) confirmed seven new COVID-19 cases, six of which are imported. The other case involves a Belgian engineer who entered Taiwan on May 3 and remained in quarantine until May 17, said Chen, who heads the CECC. Although the source of infection has yet to be identified, the case could end the nation’s record of not having any domestic cases in the previous 110 days. The Belgian, in his 20s, is a technician
RECEIVING TREATMENT: President Tsai Ing-wen, Vice President William Lai and Premier Su Tseng-chang visited former president Lee Teng-hui yesterday morning Taipei Veterans General Hospital yesterday rebutted speculation that former president Lee Teng-hui (李登輝) had died a day earlier, saying that he was weak, but receiving treatment. The hospital said the 97-year-old Lee was not in good condition and needed ongoing care, adding that if there are any changes in his condition, it would make those public. The comments came after rumors emerged online on Tuesday that Lee had died after being hospitalized since early February. Soon after the unsubstantiated rumors emerged, reporters started flocking to the hospital seeking confirmation. Lee was admitted to Taipei Veterans General Hospital on Feb. 8 after choking while drinking
THAI CASE UPDATE: Twenty-nine close contacts of the worker have been tested with two types of tests, including 18 dorm mates, with 28 negative results so far Five imported cases of COVID-19, four from the Philippines and one from Hong Kong, were reported yesterday, bringing the total confirmed cases in Taiwan to 467, the Central Epidemic Command Center (CECC) said yesterday. The four returning from the Philippines were on the same flight, and the local health department has identified 15 people who had direct contact with them — including 10 passengers in the two rows in front or behind them, who have been put under 14-day home isolation, and five crew members, who will practice 14-day self-health management, said Centers for Disease Control (CDC) Deputy Director-General Chuang Jen-hsiang