iLounge

By Charles Starrett

Senior Editor, iLounge
Published: Tuesday, July 21, 2009
News Category: Apple

Reporting its third quarter financial results today, Apple said it sold 10.2 million iPods during the quarter—a 7 percent decrease compared to the 11.01 million iPods sold in Q3 2008, and similarly a 7% decrease compared to the 11.01 million iPods sold in the year ago quarter. It also sold 5.2 million iPhones in the quarter, up significantly from the 3.79 million sold in the second quarter, but vastly more—626%—than the 717,000 units sold in the third quarter of 2008, when the original iPhone’s stocks were depleted in anticipation of the iPhone 3G’s release. The company posted revenue of $8.34 billion and a net quarterly profit of $1.23 billion, or $1.35 per diluted share, compared with revenue of $7.46 billion and net quarterly profit of $1.07 billion, or $1.19 per diluted share in Q3 2008.

Sales of “Other Music Related Products + Services” were up 17% over the year-ago quarter but down 9% from the second quarter of 2009, to $958 million total. That category includes iTunes Store sales, iPod services, and revenues from Apple and third-party iPod accessories. Revenue from iPhone and Related Products & Services, which includes iPhone handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories, was $1.589 billion, up 11% from Q2 2009 and 303% over the year-ago quarter.

“We’re making our most innovative products ever and our customers are responding,” said Steve Jobs, Apple’s CEO. “We’re thrilled to have sold over 5.2 million iPhones during the quarter and users have downloaded more than 1.5 billion applications from our App Store in its first year.”

“We’re extremely pleased to report record non-holiday quarter revenue and earnings and quarterly cash flow from operations of $2.3 billion,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the fourth fiscal quarter of 2009, we expect revenue in the range of about $8.7 billion to $8.9 billion and we expect diluted earnings per share in the range of about $1.18 to $1.23.”