Apple’s revenue reached $13 billion as profits double in Q1

Sales of Apple’s products including the iPad and iPhone saw profits reach record figures in a very successful quarter for the consumer electronics company.

There were concerns when the visionary leader of Apple Inc., Steve Jobs, passed away after a long battle with cancer. However, any concerns will have been dampened by what has been a record breaking first quarter for the company.

Recording a staggering figure of revenue for Q1 of around $46.33-billion, the company was able to post a Net Profit, after deducting all the various expenses of around $13.06-billion.

If one compares these figures to the results of Q1 last year, one can see over a 50 percent increase in Net Profit and over 40 percent increase in total revenue for the company, which is more than just a little impressive.

Peter Oppenheimer, the Chief Financial Officer of Apple was proud of the company’s achievement and was already looking ahead and hoping to repeat the results in the second quarter of the fiscal year as well.

He said, “We are very happy to have generated over $17.5 billion in cash flow from operations during the December quarter. Looking ahead to the second fiscal quarter of 2012, which will span 13 weeks, we expect revenue of about $32.5 billion and we expect
diluted earnings per share of about $8.50.”

While this quarter will not have the same festive feel to it, with Q1 benefitting from the Holiday season and Christmas period as the only thing Apple can rely on for special sales is Valentine’s Day.

At the same time however, one can expect price cuts for the iPad 2 and iPhone to kick in and stimulate sales further and speculation over the next generation of products is already growing with many expecting the announcement for the iPad 3 to be made over
the next few months.

If one was to look at how each individual product performed in the previous quarter, iPod sales were the only ones that fell while interest in other Apple products did nothing but increase, as did their sales figures.

What does the reader think about how Apple will perform in Q2? Let us know in the comments section below.

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Posted by Musa Afridi on Jan 25 2012. Filed under Sci-Tech. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry