Can Apple be stopped? Apple's reports most profitable quarter in company history

Apple reports most profitable quarter in company history; iPhone and Macs set sales records

After the markets closed yesterday, Apple released its earnings results for the first fiscal quarter of 2010, and the results were nothing short of spectacular.

In the last quarter, Apple reported revenue of $15.68 billion, compared to the $11.88 billion in revenue it earned during the first fiscal quarter of 2009. In terms of actual profit, Apple reported net quarterly profits of $3.38 billion, marking an astounding 50% increase from the $2.26 billion in profits Apple reported during the same quarter last year.

Steve Jobs stated in a press release, “If you annualize our quarterly revenue, it’s surprising that Apple is now a $50+ billion company. The new products we are planning to release this year are very strong, starting this week with a major new product that we’re really excited about.”

When the dust settled, Apple's earnings were $3.67 a share as Apple reported its most profitable quarter in company history, buoyed on impressively strong sales of 3.36 million Macs and 8.7 million iPhones - both company records as well. Overall, Mac sales increased by 33% while iPhone sales skyrocketed a staggering 100% from the same quarter a year ago. Breaking things down a bit further, sales of Apple desktops increased 57% over the year-ago quarter, largely in part to the new line of 21 and 27-inch iMacs. Laptop sales saw relatively smaller growth, but still came in strong with an 18% increase over the same quarter a year ago. As for the iPhone, Apple added 17 additional iPhone carriers during the quarter, and the device is now sold in 86 countries.

Meanwhile, overall iPod sales slipped 8% from the same quarter a year ago down to 21 million, but the iPod Touch sales increased by 55%. One of the more interesting tidbits from Apple's earnings report was that nearly 58% of Apple's revenue came from International sales, with Europe alone accounting for $5.024 billion in revenue.

Looking forward to the next quarter, Apple anticipates earnings to fall somewhere in between $2.06 and $2.18 a share on revenue in the $11 billion range.

With the economy still not in tip top shape, and Apple delivering record breaking earnings report seemingly quarter after quarter, one can only imagine what things will be like once the economy picks up. And when you add in the potential revenue stream from Apple's upcoming tablet device, Apple's financial prospects have never seemed brighter.

Join the Network World communities on Facebook and LinkedIn to comment on topics that are top of mind.
Take IDG’s 2020 IT Salary Survey: You’ll provide important data and have a chance to win $500.