Apple reports record revenue, earnings for Q1 2011
Investors fears after Jobs’ medical leave announcement eased
Apple has reported its highest revenue and earnings in the history of the company with 71% growth in revenue and 78% growth in earnings year-on-year, in its first quarter 2011 results.
The company posted $26.74 billion in revenue and a record net quarterly profit of $6 billion, or $6.43 per diluted share. In the same quarter last year, Apple earned $15.68 billion and net quarterly profit of $3.38 billion, or $3.67 per diluted share.
"We couldn't be happier with the performance of our business, generating $9.8 billion in cash flow from operations during the December quarter," said Peter Oppenheimer, Apple's CFO. "Looking ahead to the second fiscal quarter of 2011, we expect revenue of about $22 billion and we expect diluted earnings per share of about $4.90."
Product sales saw massive increases, particularly sales of the iPhone. Apple sold 4.13 million Macs during Q1 2011, which is a 23% increase over Q1 2010. The company also sold 16.24 million iPhones in the quarter, an 86% unit growth since last year. The company also sold 7.33 million iPads during the quarter.
"We had a phenomenal holiday quarter with record Mac, iPhone and iPad sales," said Steve Jobs, Apple's CEO. "We are firing on all cylinders and we've got some exciting things in the pipeline for this year including iPhone 4 on Verizon which customers can't wait to get their hands on."
One product which saw a small decline in sales was the iPod, Apple sold 19.45 million iPods during the quarter, representing a 7% unit decline from the year-ago quarter.
The strong results eased investors' worries about Apple's CEO Steve Jobs taking medical leave. Shares in Apple leapt almost 4% in after hours trade following the release of the results, this figure backtracked to stand 2% higher, recouping most of the losses incurred after Jobs' announcement.