Canada? Canada? C'mon Steve --- look north! We need an iPhone here to keep us busy during our winter hibernation!
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Apple Posts $818 Million Profit for 3rd Quarter 2007
- Thread starter Matthew Yohe
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According to the conference call, the $5 million does not include any payments from AT&T and is mostly accessories. The 270,000 sold is the number of iPhones sold (not totally clear on whether that's wholesale/retail/consignment whatever). Based on the way Apple plan s to account for iPhone sale, I would guess that the iPhone revenue is only the amount of revenue amortized over the 30 hours (based on a 24 month amortization).
NO cannibalization of iPods by iPhone!
I think possibly one of the most important points mentioned on the call, but not yet noted here is that apple did not see any cannibalization of iPod sales by iPhone. We will see what happens Q4 as more iPhones are sold and potential barriers to entry are broken down, but I am very pleased with this fact and hope it continues Q4.
I think possibly one of the most important points mentioned on the call, but not yet noted here is that apple did not see any cannibalization of iPod sales by iPhone. We will see what happens Q4 as more iPhones are sold and potential barriers to entry are broken down, but I am very pleased with this fact and hope it continues Q4.
not necessarily: notice that guidance predicts 65 cents/share profit for the present quarter, compared to 92 cents in the quarter recently completed. Stock prices reflect future, not past. So i think there's a real possibility the price could decline further. (and yes, i know the guidance only called for 66 cents in the quarter ended june 30; but that was addressed / questioned in the analysts' meeting and apple's execs claimed to have reasons to think 65cents was the accurant number to predict)
The reason being that they feel that Wall St. analysts should actually do their job and analyze?
that was funny.
and, then you could post on here about how you have an iPhone that works without at&t activation. 😀
Where have you people been?? Sure you pay the full price but they aren't recognizing it all at once but spreading it out over two years!! Two years from now they will report the last of the income from iphones sold last quarter. Is this that hard for everyone to understand?
YES! Why jump across an ocean when all you need to do is talk to your nearest Customs agent?
I don't think Apple will see much cannibalization for a while. It was widely known that the phone was coming out on the 29th (for at least a month of the quarter the exact date was known ,for the whole quarter it was known it was coming in that quarter).
Eventually convergence devices in general will probably cannibalize the iPod, but I don't see that happening for a few years time (once the iPhone is available on other carriers).
The guiadance game goes on...
Looks like Apple is continuing the trend of supplying a reasonable revenue estimate for the next quarter while sandbagging the earnings guidance big time. How can they expect to increase revenue but expect the earnings to drop by 30% compared to this quarter?
Maybe it's because all those free iPhones the Apple employees get...
🙂
Looks like Apple is continuing the trend of supplying a reasonable revenue estimate for the next quarter while sandbagging the earnings guidance big time. How can they expect to increase revenue but expect the earnings to drop by 30% compared to this quarter?
Maybe it's because all those free iPhones the Apple employees get...
🙂
Hey, if I am Apple, I would love to see my $600 product (which brings additional cash incentives from AT&T per unit sold) cannibalize my $100-300 products! There are 10 million iPods a quarter waiting to be cannibalized.
Am I correct here?
A simplistic view of how Apple will earn revenues from the iPhone. They will take the revenue from the sale of the iPhone and ATT cut and divide it by 24 (24 months) and report it that way.
So, each phone represents say $550 from sale of phone (more 8GB than 4GB), reported ATT bounty per phone of $150 plus $7 per month per subscriber (average of reports).
So, $550 plus $150 plus $168 ($7 x 24 months) = $868.
$868 divided by 24 months = $36.17
So each iPhone represents $36.17 revenue each month for 24 months.
A simplistic view of how Apple will earn revenues from the iPhone. They will take the revenue from the sale of the iPhone and ATT cut and divide it by 24 (24 months) and report it that way.
So, each phone represents say $550 from sale of phone (more 8GB than 4GB), reported ATT bounty per phone of $150 plus $7 per month per subscriber (average of reports).
So, $550 plus $150 plus $168 ($7 x 24 months) = $868.
$868 divided by 24 months = $36.17
So each iPhone represents $36.17 revenue each month for 24 months.
How about those people who shorted AAPL today expecting the stock to drop further tomorrow?
;-)
Canadian iPhone Users: ( it's ok - i'm canadian 😀 )
Hey - what is that the dude is doing? Please do not say curling has gone high-tech too?
According to Oppenheimer, all payments from Oppenheimer will be recognised immediately. All sales of accessories will be recognised immediately. Only hardware sales of iPhones and Apple TV are spread over 24 months.
