Apple Earnings Skyrocket 90%

Posted by rohaizan On 9:32 PM 0 comments


Apple Inc. share price climbed up to an all-time high, thanks to the 90% jump in company's iPhone sales profit.

"We're thrilled to report our best non-holiday quarter ever," Apple CEO, Steve Jobs said in a statement.

The technology goliath announced it doubled sales of its popular 3G iPhone over the similar quarter a year ago, marketing 8.75 million of the handsets since Dec. 27. That was somewhat better than its record sales of 8.7 million during the prime vacation buying season last year.

The company's second-quarter results amazed investors. Its stock surged to more than $257 a share in after-hours dealing, advancing more than 5% over its closing price of $244.59. Apple issued its profits after the markets closed.

Earnings soared to $3.07 billion, nearly double the $1.62-billion total a year ago, on income of $13.5 billion, up 48%. Apple earned $3.33 per share - more than 35% higher than analysts had anticipated.

Apple's report comes on the counters of strong earnings from another computer industry giant Intel, which figured its year-over-year profit just about quadruple in the strongest 2nd quarter in its 42-year history. Both Yahoo Inc. and IBM Corp. also declared profitable quarters this week.

Since Apple started selling its new iPad tablet computing device after the end of the March quarter, gross sales of the device represented were not included in its earnings, but the company has said it sold more than 450,000 of the gadgets in the first week it came up on sale early this month. The devices starting price is at $499.

The company said a more influential and expensive version of its iPad will start out to ship on April 30 with the intention to run on AT&T's 3G cellular data network.

Apple has also declared a new advertising strategy meant to compete with crossed technology competitor Google Inc. The new product, called iAd, will have built-in features in the next variant of Apple's iPhone software allowing it to embed adverts into a lot of the small programs or apps, that run on its mobile devices.

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