iLounge

By Charles Starrett

Senior Editor, iLounge
Published: Tuesday, April 20, 2010
News Category: Apple

Reporting its second quarter financial results today, Apple said it sold 10.89 million iPods during the quarter, compared to sales of 11.01 million iPods in the year-ago quarter, and down 48 percent from the previous quarter. Apple also sold 8.75 million iPhones in the quarter, a 131 percent increase year-over-year, and up from 8.7 million units in the prior quarter. The company posted revenue of $13.5 billion and net quarterly profit of $3.07 billion, or $3.33 per diluted share, compared with revenue of $9.08 billion and net quarterly profit of $1.62 billion, or $1.79 per diluted share in Q2 2009. International sales accounted for 58 percent of the quarter’s revenue. Sales of Other Music Related Products + Services were up 27% from the year-ago quarter, and 14% from Q1 2010, to $1.3 billion total. That category includes iTunes Store sales, iPod services, and revenues from Apple and third-party iPod accessories.

Notably, the numbers from Q2 2009 are different from those originally reported due to Apple’s change in accounting rules that sees the company now recognize “substantially all of the revenue and product costs from the sales of iPhone and Apple TV at the time of sale,” instead of accounting for the sales over a 24-month period.

“We’re thrilled to report our best non-holiday quarter ever, with revenues up 49 percent and profits up 90 percent,” said Steve Jobs, Apple’s CEO. “We’ve launched our revolutionary new iPad and users are loving it, and we have several more extraordinary products in the pipeline for this year.”

“Looking ahead to the third fiscal quarter of 2010, we expect revenue in the range of about $13.0 billion to $13.4 billion and we expect diluted earnings per share in the range of about $2.28 to $2.39,” said Peter Oppenheimer, Apple’s CFO.