Edible Apple

Apple a short while ago released its Q1 2011 earnings and the results were stellar. Apple posted revenue of $26.74 billion and net profits of $6 billion – both company records. Highlighting just how fast Apple is growing, the company posted revenue of $15.68 billion with net profits of $3.38 billion in the year-ago quarter. Put simply, Apple’s profits year-over-year during the first fiscal quarter skyrocketed an astonishing 77%. And for further context, Apple’s $26.74 billion in revenue is a full $2 billion more than what the consortium of Wall St. analysts were expecting. It’s one thing to beat the Wall St. consensus – it’s an entirely different matter to completely obliterate it.

Overall, Apple’s earnings for the quarter came in at $6.43 per diluted share, up from $3.67 during the same quarter a year ago. Solid.

Product wise, Apple sold over 4.13 million Macs, representing a 23% increase from the same quarter a year-ago. Meanwhile, iPhone sales increased 86% from the year-ago quarter to reach an impressive 16.24 million units. iPod sales, on the other hand, dipped 7% from Q1 of 2010 to 19.45 million units. Lastly, iPad sales for the quarter checked in at 7.33 million units.

“We had a phenomenal holiday quarter with record Mac, iPhone and iPad sales,” Steve Jobs stated in a press release. “We are firing on all cylinders and we’ve got some exciting things in the pipeline for this year including iPhone 4 on Verizon which customers can’t wait to get their hands on.”

Looking forward to Q2 of 2011, Apple projects revenue of $22 billion and EPS of $4.90.

Notes of interest from Apple’s earnings conference call:

– International sales accounted for 62% of Apple’s Q1 2011 revenue

– Apple set another quarterly Mac sales record with portables leading the way

– Mac portables accounted for $3.7 billion in revenue on sales of 2.9 millino units while Desktop Macs accounted for $1.7 billion in revenue on sales of 1.2 million units.

– Mac portable sales are fueled by strong demand for the MacBook Air and MacBook Pro

– 16.24 million iPhones sold is another company record and accounted for $10.5 billion of Apple’s quarterly revenue

– ASP for the iPhone was an impressive $625 with 88 of the Fortune 100 companies now deploying the device

– Apple notes they could have sold even more iPhones if they could have manufactured them quicker

– iPad sales accounted for $4.6 billion in revenue for the quarter

– ASP of the iPad is $600.

– iPod sales from Q1 2010 to Q1 2011 dipped from 21 million to 19.4 million. iPod sales accounted for $3.4 billion in revenue.

– The iPod Touch continues to do well and grew 27% year over year and represents more than 50% of all iPods sold