Apple (AAPL): fourth quarter of 2010 (July-September)

    Disclaimer: This post was written by me as a private person. This post is an experiment, the first part was Google reporting for the third quarter of 2010. I am not an expert in finance, comments will be extremely valuable!

    Today, the next webcast dedicated to Apple's official reporting took place . In this case, it was a presentation of the financial results of the company for the fourth quarter of fiscal year 2010 (July-September). Apple made a pleasant gift to itself and analysts for its new fiscal year - these are record numbers that exceeded both the company's own forecasts and third-party estimates. Perhaps that’s why Steve Jobs himself joined the broadcast , and his participation was extremely interesting,including open criticism of Google - details below. Everyone can enjoy the full audio recording of the event, a press release with all the details and summary figures .

    Over the past quarter, revenue (revenue) amounted to $ 20.3 billion , which is 67% higher than last year. Net income (income profit) grew by 70% per year and amounted to $ 4.3 billion . Both numbers are a record for the company. Let me remind you that there was still a crisis a year ago, the growth compared to the previous quarter was 30%. This is the first quarter in the history of a company with a figure of more than $ 20 billion. You can compare these figures with reportingGoogle last week. At the same time, gross margin decreased from 41.8% to 36.9%. There were many questions about this, but company representatives said that this was not a surprise for them.

    At the beginning of the webcast, there was the introduction of Product Numbers — 3.89 million Mac computers, 14.1 million iPhone phones, 9.05 million iPods, and 4.19 million iPad tablets. All numbers are also record-breaking, except for the iPod - their sales for the year even fell slightly, by 6%. It is interesting to note that revenues from iPad tablets exceeded sales of personal computers (despite their record) - which, however, also reflects the company's market share. Among personal computers, it is in the region of 10%, the tablet market was created by the company itself.

    As I noted above, the CEO of the company becomes a rare guest of such events, but this time Jobs not only appeared, but essentially made a presentation - despite the audio format and the audience of financial analysts and investors. The main topics were iPhone phones and iPad tablets and their comparison with competitors - especially with Google.

    iPhone For the first time, device sales exceeded RIM rivals with the BlackBerry product by 2 million. And Jobs does not believe that they will be able to turn this trend. However, the market leader is Nokia. Steve joked that Apple is “not smart enough” to make phones for $ 50, but will be notified if they learn. In this regard, today's material is interesting .VisionMobile, in which the share of Apple (in pieces) among phones for the first half of 2010 is calculated, it amounted to 2%. Moreover, the share of all smartphones combined among all released phones is less than 20% .

    The comparison with Google took a long time and was so emotional that it was fully uploaded to YouTube !

    First, Jobs began a conversation on contrasting open Android and closed Apple. Steve believes that Windows is really open, which looks the same on computers from any manufacturer - unlike the operating system from Google, where even the main suppliers of HTC and Motorola set up their own interface. Apple believes that it’s right to talk not about closeness and openness, but about integration and fragmentation.

    Secondly, Steve refers to the recent experience of the TweetDeck twitter client, which tested its application on more than 100 different versions of Android. Apple instead provides only the current and previous version of its OS.

    Thirdly, this is the fragmentation of the app stores themselves, of which there are already several for Android, including those planned by Amazon, Verizon and Vodafone. This creates mess not only for developers, but also for users.

    It is interesting to note that for all three points, the new Microsoft rules for Windows Phone 7 are correct according to the logic of the head of Apple.

    Steve also recalled that a quarter earlier Google announced the daily activation of 200,000 Android phones. Apple reports its numbers today - 275,000 activations per day for an average of 30 days, and up to 300,000 on some days. Let me remind you that Google a week earlier did not report new data on its system.

    iPad As stated above, profits from tablets for Apple already exceed profits from personal computers. Steve argues that the market first will significantly affect the laptop - it is a question, "not if, but when." Again, many criticisms of Google.

    Apple sees how many manufacturers are developing 7-inch tablets based on the Android OS. Jobs notes that the iPad has a diagonal of 10 inches, while 7-inch devices have only 45% of its area. The company refers to its experience and considers it impossible to place elements on such a small screen so that they do not accidentally touch them. At the same time, the devices are too large compared to smartphones and too small for convenient tablets.

    As for the operating system itself, Jobs notes that even Google itself does not recommend installing Froyo (Android 2.2) on tablets and advises to wait until the beginning of next year.

    And finally, prices - with all the shortcomings of competing devices, according to Apple - their price is higher than that of the iPad.

    As you can see, the conversation with investors essentially became the presentation of Apple against Google, sending most of the questions of analysts along this line.

    Of the other topics raised, the interesting question was about the possibility of changing Apple's attitude to Flash. What Jobs joked is that “we love Flash.”

    When asked whether the tablet business will become the second for the company after the telephone, Steve noted that he likes not to predict, but to report on the results. But the company sees great interest in their products, including among business users and in the field of education.

    The market on the eve of the announcement slightly lowered the price of shares, but by the end of the day it again returned to the values ​​of the opening of trading. In general, over the year, the company's performance has grown significantly, which allows market capitalization to constantly be in the vicinity of $ 300 billion. This is how Apple got the new fiscal year 2011!

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