Or select individually:
- Apple’s REAL Earnings Expectations
- The iPhone Is Now Almost Half Of Apple’s Revenue
- The Growth Of The Mac
- Netflix Streaming Up 145% In A Year
- If AT&T Is So Bad, Why Is It Beating Verizon Every Quarter?
Apple is known for dramatically lowballing its profit guidance, and then miraculously blowing out 'expectations.'
Since Sept. 2006, Apple has topped its quarterly EPS guidance by an average 41%, and its revenue guidance by an average 9%.
So what does that mean for this quarter, which will be reported this afternoon? (Join us for LIVE coverage.)
It's a little tricky, because Apple significantly changed its accounting practices a few quarters ago. It now recognises iPhone revenue almost all at once, instead of spreading it over 24 months. So we won't know reliably for a few more quarters just how much Apple is lowballing its guidance using the new numbers. (Though the last two quarters, Apple blew out its numbers even more than it usually does.)
But running the old formula, based on Apple's September quarter guidance of $3.44 EPS and $18 billion in sales, history suggests Apple should report EPS of about $4.85 on $19.6 billion of revenue.
Wall Street expects lower earnings and revenue: Consensus stands at $4.06 of EPS on $18.86 billion of sales. So Apple is set up to once again 'surprise.'
Apple's iPhone business continues to surge. The company's phone division is now by far its biggest: An $8.8 billion business last quarter, representing more than 43% of Apple's overall sales, and growing more than 90% year-over-year.
Meanwhile, the Mac had its best quarter ever ($4.9 billion), and the iPad represented almost twice as much revenue last quarter ($2.8 billion) as the iPod ($1.5 billion).
But perhaps what's most remarkable is how fast Apple is still growing overall. At $20.3 billion in sales last quarter, Apple still grew 67% year-over-year. For comparison, Google grew revenues 23% year-over-year last quarter, and RIM grew 31% year-over-year in its most recent reported quarter.
While all the attention on Apple is focused on mobile devices, the growth of its PC business has been pretty impressive in its own right.
At today's big Apple event COO Tim Cook presented the chart below which shows the installed base of the Mac. It's just shy of 50 million right now.
He added that the Mac business has been growing faster than the overall PC market for 18 quarters running.
The number of Netflix subscribers streaming videos has more than doubled in the last year, according to data the company released last night.
As of Netflix's most recent quarter, 11.1 million subscribers are using 'Watch Instantly' for at least 15 minutes. A year prior, only 4.5 million were using it.
This is one reason investors have been going bananas for Netflix. It has very successfully transitioned itself from a DVD rental company to one of the most financially successfully web video companies in the worl
If the conventional wisdom is that AT&T wireless blows, why is it beating Verizon Wireless -- supposedly the best carrier of them all -- in subscriber growth every quarter?
Verizon announced today that it signed up 997,000 net new subscribers in Q3. But that's less than half of the 2.6 million net wireless subscribers that AT&T signed up last quarter, driven by Apple's new iPhone 4.
Of course, this isn't the only metric worth looking at -- Verizon leads in other categories. And the tables could certainly turn if/when Verizon starts selling the iPhone -- reportedly happening early next year.
But it still says that for whatever reason -- mostly the iPhone, we think -- AT&T is still able to sign up millions of new subscribers, and thousands more than Verizon, despite its supposed inferiority (whether real or perceived).
Or select individually:
- Google Chrome Beats Firefox To Own The Tech Set
- iPhone 4 Breaks 68% More Often Than iPhone 3GS
- Verizon's Android Users Are Bigger Data Hogs Than iPhone Users
- Teens Text 3,339 Times Per Month!
- See? Google's Still A One-Trick Pony
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