Apple Q3 Conference Call Results

[sinisterdesign]

best we could hope for!

admittedly, i didn't want to hear that there's a continued chip shortage, nor that mini production can't keep up, but at the same time, it's because people are BUYING the stuff that Apple/IBM can't keep up.

but the confirmation of a G5 iMac makes me happy. i was kinda worried that they were going to try and pawn off a redesigned G4 iMac, which would just royally hack off a vast majority of the Mac-faithful.

now just give me a sweet, swwet new iPod & you'll have one more happy camper...

 

[fartheststar]

"Apple remains a debt-free company with $4.96 billion in cash." from conference call

"Google has filed their IPO. Seeking $2.7B" Morgan Stanley and Credit Suisse First Boston.

With Apples cash on hand, they could buy Google twice.

So, they leave money around for possible aquisitions. Who do you think (other than google) would Apple be interested in aquiring? That's a LOT of money to spend. What do you all think?

 

[frankly]

With that kinda profit why so much for the new displays? Maybe a cheaper imac?

Well, let's see math genius....

Apple sold 1,736,000 units when you combine iPods and CPUs.
They made $61,000,000 profit.

If you divide the $61,000,000 by the 1,736,000 units that leaves a net profit of $35 per unit. So, are you suggesting that they lower the price of each unit by an average of $50 and then lose money for the quarter????

Frank

 

[dongmin]

This is also a first!

Apple announces a new iMac months before it starts shipping....
Now they confirm a G5 in it....!

Somehow I find this really cool!

It's weird that Apple is basically announcing a new product but not taking orders for it. Why not? Why not announce it in mid-July and take orders for six weeks? They could cash in on the back-to-school season by announcing it in the next couple of weeks. But no, they're holding off until September. That suggests that Apple is kissing goodbye the education market for the iMacs. A September release (meaning not fully available until October or November) is more appropriate for the holiday season.


This suggests that the new iMac will be an expensive, pro-sumer machine. Even with a 'low-end' 1.8 ghz, I don't expect a 17" iMac to be less than $1500, probably more in the $1700-1800 for the low end. The 17" G4 iMac currently goes for $1800. Apple will probably keep that price point. (I'm assuming that Apple will drop the 15" iMacs altogether.)

If that is the case, then Apple will have no desktops between the $999 of the eMacs and $1799 of the iMac. Problematic, if you ask me. But maybe Apple has something else to fill the void. I'd vote for the return of the G4 Cube in the $999-$1499 range.

 

[mpw]

It's weird that Apple is basically announcing a new product but not taking orders for it. Why not? Why not announce it in mid-July and take orders for six weeks? They could cash in on the back-to-school season by announcing it in the next couple of weeks. But no, they're holding off until September. That suggests that Apple is kissing goodbye the education market for the iMacs. A September release (meaning not fully available until October or November)[\B] is more appropriate for the holiday season.


My previous post:
Then maybe the 'delay' in launch is a stockpiling exercise so these pages aren't full of 'Why release a product with nothing to ship for weeks' posts for the first month after launch. I hope so 'cause i want mine delivered on the 1st September!

 

[dongmin]

My previous post:
Then maybe the 'delay' in launch is a stockpiling exercise so these pages aren't full of 'Why release a product with nothing to ship for weeks' posts for the first month after launch. I hope so 'cause i want mine delivered on the 1st September!

This still doesn't settle the question of WHY NOT announce now and take order. Most people go back to school in mid- to late-August. Most people will have made their purchases by the time the iMacs are announced in September (or Aug. 31 as the rumors suggest). Joe Public does not keep track of Apple conference calls. They don't know that a G5 iMac is coming. If they knew, I'd say a lot of them would hold off buying a computer. Better still, they would pre-order their new G5 iMacs and expect shipment in mid-September.

I think Apple KNOWS that the iMac is not a big seller for the education market. It's the iBooks and eMacs that people by. If people want more horsepower, they go to either the PowerBooks or Power Macs. The iMac appeals more to the style-freaks who don't mind shelling out big bucks for a mediocre performing machine. Students are way more budget-conscious.

 

[frankly]

Yet ANOTHER slap in the face for all those prophets of doom who said "who's going to buy an iPod mini?".

Apple sure do seem to know what they're doing! Thank God some of us here aren't running Apple! (myself included!)

Yep, and I was one of those who defended the iPod mini and its price until I was blue in the face. Vindication is sweet!!!!!

Frank

 

[Lancetx]

I make it 4.3%, but I wont' quibble; it's still a good jump.

Umm, actually it was up 7.07%, not to quibble or anything.

31.67 +2.09 (+7.07%)

 

[xsnightclub]

With almost 5 Billion cash on hand...

So, they leave money around for possible aquisitions. Who do you think (other than google) would Apple be interested in aquiring? That's a LOT of money to spend. What do you all think?

PepsiCo has a market value of $5,292,000.00, Apple could buy Pepsi and get back at them for the lousy distribution during the iTunes promo.

 

[w00tmaster]

They are not delaying the start of shipments of any Power Macs!

They outlined constrained supplies for all PowerMac G5 systems for the remainder of this month and for the 2.5GHz systems for the rest of the next fiscal quarter. Constrained supply will delay some shipments but they will be shipping product including PowerMac 2.5GHz systems. They expect the G5 supply issues to be solved by IBM near the beginning of FQ1 2005 (which starts in Sept. 2004).

They are delaying shipping power macs, I know of 2 people(myself included) who ordered pms 2 weeks ago, it says they won't ship till the end of July...which makes me think that Apple is kind of hesistant to release the new iMac, they already cannot get enough G5s, let alone if they have a new line with them.

 

[frankly]

- iBook 240K, iMac 220K, 416K desktops

Am I missing something? How many PowerBooks were sold???

Frank

 

[xsnightclub]

Save money building Apple Stores

So, they leave money around for possible aquisitions. Who do you think (other than google) would Apple be interested in aquiring? That's a LOT of money to spend. What do you all think?

Or Apple could save tons of $$$ building Apple Stores by buying Radio Shack and converting them. That way there would be an Apple Store within 5 miles of %90 of americans.

 

[mj_1903]

"Apple remains a debt-free company with $4.96 billion in cash." from conference call

"Google has filed their IPO. Seeking $2.7B" Morgan Stanley and Credit Suisse First Boston.

With Apples cash on hand, they could buy Google twice.

No way. Google are seeking to raise $2.7 billion but they are not selling all their stock. I am guessing they will only sell 10-20% of their stock, which means Google will be valued at double Apple's worth, at minimum

 

[mj_1903]

Am I missing something? How many PowerBooks were sold???

Frank

200K if my memory serves me correctly.

 

[jouster]

confused by flawed logic: you wouldn't expect the price of an iMac or 20" display to be upped to $10k because the company had had a loss in a quarter, would you?

peace
terry

Agreed. $61 mil on $2 B sales is what? 3% give or take? Hardly a gigantic profit.

Wouldn't it make more sense to complain about the $4B or so sitting unused in the bank?

 

[Doctor Q]

Apple could buy Pepsi.

Steve running Pepsi? That would be an ironic twist! Would he announce Pepsi upgrades and new flavors every few months?

 

[frankly]

200K if my memory serves me correctly.

As my post pointed out, the conference call said:

iBook 240K, iMac 220K, 416K desktops

It didn't say anything about PowerBooks. The numbers above add up to the 876,000 CPUs sold. Perhaps the first number was meant to be all notebooks. I don't know but according to the conference call they didn't say how many PowerBooks were sold.

Frank

 

[edgar_is_good]

Well, let's see math genius....

Apple sold 1,736,000 units when you combine iPods and CPUs.
They made $61,000,000 profit.

If you divide the $61,000,000 by the 1,736,000 units that leaves a net profit of $35 per unit. So, are you suggesting that they lower the price of each unit by an average of $50 and then lose money for the quarter????

Frank

"People always ask me - how do you make money? You're a change bank, after all. You only make change.

The answer is simple: Volume."

- Kevin Nealon

 

[puckhead193]

Did they just said G5 imac confermed? So i G5 will be coming out, but the question is when....
I guess that's good news, but what about us mobile users!...I want a G5 pb book sept. for school

 

[jouster]

PepsiCo has a market value of $5,292,000.00, Apple could buy Pepsi and get back at them for the lousy distribution during the iTunes promo.

Uh.....you need to check your attachement.

Pepsico's cap is $5,292,000,000.00

What, did you really think Pepsi is worth five million bucks? They probably do three or four times that in daily sales.

Also, a lot of people here seem to think that companies sell for their market cap value. This not accurate.

Edit: They do nine billion per annum. Buying price would reflect this, not their cap.

 

[~Shard~]

Excellent news all around. Who votes negative on these articles? Apple's future is looking bright - and I can't wait to see the new G5 iMacs!

Upping that marketshare should would be nice though...

 

[xsnightclub]

Switch to caffeine free soda

Uh.....you need to check your attachement.

Pepsico's cap is $5,292,000,000.00

What, did you really think Pepsi is worth five million bucks? They probably do three or four times that in daily sales.

Also, a lot of people here seem to think that companies sell for their market cap value. This not accurate.

Edit: They do nine billion per annum. Buying price would reflect this, not their cap.

I was purely joking, sorry if you couldn't tell because I din't put a .
No matter how much it is worth, do you really think a computer company should buy a soft drink company. Lay off the caffeine. Try a diet Pepsi-Free

 

[jouster]

I was purely joking, sorry if you couldn't tell because I din't put a .
No matter how much it is worth, do you really think a computer company should buy a soft drink company. Lay off the caffeine. Try a diet Pepsi-Free

Well, I didn't think you were serious about them buying Pepsi (at least I sure hope you weren't), but I do think you misread the cap value.

Whatever....Apple has way too much cash, and they need to buy something. The market doesn't love huge cash piles as much as people think. They tend to distort earnings (by accumulating interest), and they tend to make companies susceptible to takeovers. Apple needs to get that more of that cash working in its core business areas.

Thanks for the soda advice; I'd rather drink mouthwash than diet Pepsi-free....

 

[Stella]

WHEN is common knowledge... you just have to look at Apple's iMac page.


When? September.

Did they just said G5 imac confermed? So i G5 will be coming out, but the question is when...

 

[CyberB0b]

Anyone know how much did the iBook recall cost them?