Following Apple's announcement of the most profitable quarter yet with sales of more Macs and iPhones than any previous quarter the company held a conference call to discuss the results further. Here are some notes of interest from the conference call:
- Apple began and ended the quarter with between 3-4 weeks of Mac channel inventory
- 50 percent of iPod buyers are buying their first iPod
- iPod touch sales up 100% year over year
- iTunes remains worlds largest music retailer, available in 23 countries
- Apple to expand iPhone carrier relationships in the UK and Canada
- iPhone in China later this quarter
- Sales of iPhones worth $4.5 billion during the quarter
- Apple retail stores had a record quarter, $1.78 billion in revenue
- Fifteen new stores open in quarter, total now 273
- Average stores revenue was $7.1 million, down from $7.6 million last year
- 45.9 million visitors to stores, compared to 42.7 million last year
- Tax rate was 26% during Q4
- $34 billion in cash at the end of the quarter, an increase of $2.9 billion from last quarter
- $3.1 billion in cash flow during quarter
- Looking forward: revenues between $11.3 billion and $11.6 billion, gross margin of 34%, tax rate to be about 30%. EPS between $1.70-$1.78. 18% net income growth expected.
- iPhone in China October 30th with China Unicom
- iPhone channel inventory, 2.1 million in the channel. Would like more.
- iPhone 3GS uptake phenomenal, took Apple by surprise
- 21 million iPhones during the fiscal year
- Portable Mac shipments up 35% year over year
- Snow Leopard sales double those of Leopard in first five weeks
- Air freight costs set to increase, Cook would not mention which product was involved but will be "an abnormal sequential increase"
- Mac sales benefitted from 50,000 unit order in state of Maine
- iPhone ships in 80 countries so far, iPhone 3GS available in 64, should be 80 by quarters end.
- Over 350 education institutions have approved iPhones for staff and students
- iPhone sell-through increased 38% year-over-year
- Conference call over