Apple exceeded all expectations in its fiscal second quarter, exceeding Street estimates on revenue, Mac and iPod sales.
Apple posted revenue of $7.51 billion and net quarterly profit of $1.05 billion, or $1.16 per diluted share. These results compare to revenue of $5.26 billion and net quarterly profit of $770 million, or $0.87 per diluted share, in the year-ago quarter.
Consensus estimates had pointed to $6.96 billion in revenue, 2 million Mac sales, 10 million iPod and 1.7 million iPhone sales in the quarter. Apple exceeded these expectations.
Apple shipped 2,289,000 Macs, representing 51 per cent unit growth and 54 per cent revenue growth over the year-ago quarter. It sold 10,644,000 iPods during the quarter, representing one per cent unit growth and eight per cent revenue growth over the year-ago quarter. Quarterly iPhone sales were 1,703,000.
Gross margin was 32.9 per cent, down from 35.1 percent in the year-ago quarter. International sales accounted for 44 per cent of the quarter’s revenue.
“We’re delighted to report 43 per cent revenue growth and the strongest March quarter revenue and earnings in Apple’s history,” said Steve Jobs, Apple’s CEO. “With over $17 billion in revenue for the first half of our fiscal year, we have strong momentum to launch some terrific new products in the coming quarters.”
“We’re thrilled to have generated $4 billion in cash flow from operations in the first half of fiscal 2008, yielding an ending cash balance of $19.4 billion,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the third quarter of fiscal 2008, we expect revenue of about $7.2 billion and earnings per diluted share of about $1.00.”
Apple's estimates for Q3 slightly exceed Wall Street consensus estimates, which were pegged at around $7.16 billion for the quarter.
Apple provided live streaming of its Q2 2008 financial results conference call.