Apple's Q4 2012 earnings beats revenue expectations, misses profits

Apple's Q4 2012 earnings beats revenue expectations, misses profits
Apple has made its financial earnings call for Q4 of 2012 and the news is something of a mixed bag. The company is still making boatloads of cash and its revenues were higher than expected, but Apple's traditional strength - profits - came in lower than had been forecasted. Apple's revenues for Q4 came in at $36 billion, which is just a tad (~500 million) higher than was predicted by analysts, and a full $2 billion higher than Apple's own expectations. Apple stocks earned $8.67 per share, which was slightly lower than analyst predictions, but well higher than Apple's own obviously conservative estimates. 

Then there were profits, which has long been the calling card of Apple, a company that prides itself on getting huge margins on its products. Apple reported an impressive $8.2 billion in profit, which is not only lower than analysts predicted, but it's the 3rd straight quarter of lowered profits for Apple. As you can see in the chart to the right, after a hugely profitable Q1 2012, Apple's margins have dropped each quarter since.

Apple also reported 26.9 million iPhone sales, up 58% year-on-year, and 14 million iPads sold, a gain of 26% year-on-year. Mac sales were up just 1% compared to last year, at 4.9 million sold, and iPod sales were down 19% at 5.2 million.

Not a bad quarter, and Apple is predicting that Q1 of 2013 will bring in "revenue of about $52 billion and diluted earnings per share of about $11.75." Given that Apple tends to be conservative in its estimates, that points to a pretty big Q1 for the company. 

source: The Next Web



1. Savage unregistered

Its still a lot of profit. But being on a decline is a bad sign. Well ! The lawsuits might help, right?

2. PhenomFaz

Posts: 1236; Member since: Sep 26, 2012

Its a sign of things to come for Apple...the proverbial beginning of the end...woohoo!

25. The.Dark.Knight.Rises

Posts: 72; Member since: Oct 24, 2012

Not yet.

6. AnTuTu

Posts: 1596; Member since: Oct 14, 2012

End of an Era coming soon.

14. TooBIG

Posts: 3; Member since: Oct 25, 2012

still better than what android did LOL

17. darkkjedii

Posts: 30903; Member since: Feb 05, 2011

Look at how they want apple to fail. Too bad they wont get their wish

18. Savage unregistered

Oh don't worry about that. Apple will see to it our wishes are fulfilled :)

23. doejon

Posts: 411; Member since: Jul 31, 2012

apple faild already and microsoft rescued the ass of apple! u will see how fast a company can fall best example NOKIA

29. doejon

Posts: 411; Member since: Jul 31, 2012

i guess nokiafanboys where here.. :D i was not saying that nokia is bad nokia is even good...

3. androiddownsouth

Posts: 598; Member since: May 02, 2012

With superphones like the HTC Droid DNA, the Galaxy Note II, Windows Phone 8 launch, and likely multiple Nexus devices, I'm not so sure that Apple will hit even their own conservative expectations. If they do I won't be surprised, but I do expect these new devices to challenge Apple harder than ever before in the mobile industry. As for tablets, there is mroe and more quality competition for the iPad now and in the future, so only time will tell. It certainly is an exciting time for technology fans!

5. Savage unregistered

Damn right! 2012 was just a warm up compared to whats coming next. Finally more and more people coming to realize that Apple isn't about what it keeps advertising. I am surprised that Q4 sales didn't boost due to the fact that iPhone 5 was released but now that the sales are disappointing, it means that it actually didn't do well. I feel like laughing at Foxcon's CEO who said iPhone 5 would put SGS 3 to shame Coming to tablets, really disappointing to see what Apple has done with iPad 4 n Mini. I was actually enthusiastic for a portable tablet but Apple putting ancient age specs on it drove me away. N the iPad 4? If Apple thinks putting a newer chip and changing a dock is really gonna challenge a fully powered workstation and productive tablet from Microsoft i.e. Surface, they are sadly mistaken. However, for now, lets watch the sales and see for ourselves if Apple is truly on the decline.

7. gallitoking

Posts: 4721; Member since: May 17, 2011

so basically you are saying that those phones you mention will succeed were the SGSII, Thunderbolt, Optimus, and Galaxy Nexus failed, all those phones were also game changers in their own way, how are this any different

13. androiddownsouth

Posts: 598; Member since: May 02, 2012

I'm not going to take the time to explain my opinion on it to you dude b/c nothing anyone on here says is going to change your mind that Apple and iOS are the best. If you want to lose the condescending tone in that post and have a real discussion, I'd be happy to, but based on your post history, I don't expect that to happen.

16. gallitoking

Posts: 4721; Member since: May 17, 2011

then is not fair... you want to change my point of view but I cant. you are being unfair

20. Sniggly

Posts: 7305; Member since: Dec 05, 2009

The SGS2 was not a failure. It handily beat the sales of the SGS1. The Thunderbolt didn't do bad for a generation 1 LTE phone. LG makes s**tty phones, so they don't count. The Nexus did what it always does; it served as a "concept car" of sorts for the Android manufacturers. Next.

21. gallitoking

Posts: 4721; Member since: May 17, 2011

did you have any idea what we were talking about..?.. if you are jumping in at least read more don't be lazy i kNow your Android takes forever to load the entire page but be patient

22. androiddownsouth

Posts: 598; Member since: May 02, 2012

gallito, if you would like to have a discussion on how I think that these new devices could spell major problems for Apple, all opinions of course without being arrogant or condescending, I'm all for it man. I love discussing things with different people that have different points of view. I just view the history of your posts as arrogant and condescending in my opinion. Feel free to prove me wrong, and I'll admit it and be glad that we had a good conversation about this without anyone being rude. That is all I'd like to see. No name calling, no "you're totally wrong" bs b/c all we have right now is opinions and speculation, none of which are right OR wrong.

24. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Yes, and I am making the point that your assessment of the models mentioned was inaccurate, to say the least. And why the rudeness? If you're going to be an ass to me, you're just opening the floodgates. You should have learned from watching me deal with others that I can play hardball better than most.

28. crankyd00d

Posts: 191; Member since: Oct 17, 2011

I believe the only proof you need is how fast Apple released a new iPad, they're under a lot of pressure and scared

4. angelesmec unregistered

I really love seeing this news..I am actually not mad at Apple its just my current work place is full of troll sheeps in a 1:7 ratio which is kind of annoying because they are the ones who are starting a war even they just have average phone knowledge and mocking news like this news sound good to my ear.

8. gallitoking

Posts: 4721; Member since: May 17, 2011

the title simply implies that Apple still sells but are cutting on profits which is what al the haters wanted.. thats all.. is Cook's era

12. Chuck.Norris unregistered

what cutting profit? last time I checked, they are still charging $100 for an extra 16 gig on the iphone, and their cost for that???? the difference in Samsung and other manufacturers is around $50. Apple is the greediest company ever.......

19. gallitoking

Posts: 4721; Member since: May 17, 2011

ok then way sales are not down and profits are less.. what is your answer to this

9. darthinvader

Posts: 63; Member since: Sep 18, 2012

So they launched iPad mini this week ahead of Windows 8 & Surface Event & now dat the Microsoft is done with the launch and unveiling, they release their results today... I guess, Microsoft actually SMOKED Apple.. Burrrrrnnnnn!!! U r going down baby... Dowwwwwnn!!

10. letgomyeggroll

Posts: 139; Member since: Jun 13, 2012

The next quarter will be even worst for them, as they will be paying for more legal fees and not getting anything out of it. In addition Samsung will cut ties with them and will not supply the parts any longer (which is majority of the parts in all their devices). This make their other suppliers to bring their parts up on them. As Apple is only a developing company of devices not an engineer or manufacture. When the financial gets released of much profit from the IPhones, some of the IPhones will be upset and purchase Apple's device any longer. Not knowing its big margin for a basic Smart phone. The tables table turning on them slowly, and they deserve it as they so greedy. A very successful business will exceed on their own, but when that company start messing with others to climb that ladder. They will eventually fall hard. Samung might not be the #1 well known manufacture are company, but the are the biggest and most used company in the world. They have the leverage to keep going.

11. Chuck.Norris unregistered

this won me a signed $5 dollar bet with my Niece, our bet was when their stock hit over 700, she said it will be over a $1000 in a month and I said under $600. well today their share price dived to 580 at one point.

15. androiddownsouth

Posts: 598; Member since: May 02, 2012

What was that company that only gave incrimental upgrades every so often, didn't change or innovate anything for several years, and now are struggling to even produce a new phone? Apple's business model for releasing their phones like this sure does resemble that company a lot..... OH YEAH! RIM! I'm sure I'll get hated on for posting that, but if you look at it, the phone release models the two companies use/used look quite similar.

26. letgomyeggroll

Posts: 139; Member since: Jun 13, 2012

You won't get hated, we are just concern that someone would support RIM. A device that has been updated and havent release anything in years. Yes they had their times but its been the same since day 1. And Apple is in the same path

27. app_droid_soft

Posts: 42; Member since: Sep 09, 2012

even google will fail...maybe in a decade at most...coz what goes up must come down

30. letgomyeggroll

Posts: 139; Member since: Jun 13, 2012

Oh what doesn't every apple falls from tree, or get picked off?

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