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Apple Reports Record Earnings and iPhone Sales: $18B Profit on $74.6B in Revenue for Q1 2015

Is a $0.47 dividend enough?

Seems to me it needs to grow with the profit unless Apple wants to force the government to lower the taxes on foreign cash so it can pay out more dividend that in turn earns the state 25% in taxes.
 
ArtOfWarfare said:
I'm concerned about the fact that the iPhone makes up nearly 70% of Apple's revenue. If somebody makes a better phone, Apple crashes. I know that's unlikely given that people have been trying quite hard even since the first iPhone and haven't managed it yet, but still, talk about putting all your eggs in one basket.
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True, except hardware is not the only factor here. Many of us have so much invested in our iPhone's in terms of software apps and data that it would have to be a startling unexpected breakthrough in hardware on a greater level than the original iPhone was in 2007 to make many even give a thought to switching. I'm sure Apple understands that. Given Apple's resources, that seems very unlikely. I'm still happy with my 5s, does what I need and can wait for the next iPhone comes out in 2016 to decide where to get a 6 or the "6s". That's how little it matters about the hardware at this point.
 
jrswizzle said:
But expected. The average sales number for iPads from analysts was what, 21 million? And Apple came in at 21.4?

Tablets have longer life spans. More a laptop than a smartphone. People hold on to their iPads longer and therefore as we enter the 5th year of the iPad's existence, people have stopped replacing so often.

Not surprising. I look forward to seeing what they do this year to spruce the line up. It could use some unique features.
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iPad customers (many of them) are people who think they need a computer but they don't want to buy a computer because it is too complicated. These customers keep their iPads until they break, and then they buy a new one. I'd bet there are people who are going to buy four or five iPads over the next 20 years, depending on how long they last. Every time the old one breaks down, they buy a new one.
 
IJ Reilly said:
Don't pat yourself too hard on the back, pal. If Apple hadn't beaten the analysts you would have looked pretty dumb, because the markets always expect a beat.
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Of course it would not have been a good move if Apple did not beat the analysts predictions. But that's not what happened. Apple blew it out of the water. So I stand by my statement that an investment before today's closing bell was a great move.

Bryan
 
ArtOfWarfare said:
I'm concerned about the fact that the iPhone makes up nearly 70% of Apple's revenue. If somebody makes a better phone, Apple crashes. I know that's unlikely given that people have been trying quite hard even since the first iPhone and haven't managed it yet, but still, talk about putting all your eggs in one basket.
Click to expand...

We're you concerned when computers made up all their revenue? We're you kept awake by the fear that someone might make a better computer? Apple are more diversified than ever.
 
sseaton1971 said:
The number of Macs sold is 5.5 million compared to 4.8 million in the same quarter last year. That is an increase. It is only a smaller percentage of revenue because the iPhone sold like crazy... not because the Mac is not selling well.
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And remember that Macs gobble up more than 50% of all profits made by desktop and laptop manufacturers.
 
kironin said:
True, except hardware is not the only factor here. Many of us have so much invested in our iPhone's in terms of software apps and data that it would have to be a startling unexpected breakthrough in hardware on a greater level than the original iPhone was in 2007 to make many even give a thought to switching. I'm sure Apple understands that. Given Apple's resources, that seems very unlikely. I'm still happy with my 5s, does what I need and can wait for the next iPhone comes out in 2016 to decide where to get a 6 or the "6s". That's how little it matters about the hardware at this point.
Click to expand...

Actually, most people I know (let me correct it, everyone I know) have never bought an app.
I, meanwhile, am an exception, since I probably have hundreds of dollars' worth in paid (and paid-downloaded-for-free) apps. But then, I'm the only one reading MacRumors everyday :apple:
 
Chupa Chupa said:
Multitasking. People like the form factor. It's the flimited unctionality that lstops them.
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I kind of agree with this. I don't even need massive multitasking, but it would be great to have a mini, windowed movie playing (pick your movie player of choice -- youtube, Videos, etc.) while I'm on Safari. I'm ok with dragging the little window to whatever part of the screen I want and also don't care if it sits on top of Safari a bit. I'd also like more accessibility to the file system.

I want the option of treating it a bit more like a traditional computer than I do my iPhone.
 
IJ Reilly said:
And then added the range for wiggle room. Nobody would be popping any champaign corks if Apple had reported within the range. Looking at the number that really matters (EPS), this quarter followed the old rule of thumb: beat the Street by at least 10% or eat dirt.
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They said revenue growth would have been 4 percentage points higher on a constant currency basis. They could not have known 3 months ago that the Canadian and Australian dollars and euro would tank, and the Swiss move last week caught everyone off guard.

Looking at the results in more detail, it's clear that the US market is still bigger than China, which suggests there is even more room for growth in the future. Some had predicted this would be the quarter where China passed up the US as Apple's biggest market.
 
Bonte said:
Is a $0.47 dividend enough?

Seems to me it needs to grow with the profit unless Apple wants to force the government to lower the taxes on foreign cash so it can pay out more dividend that in turn earns the state 25% in taxes.
Click to expand...

The federal tax rate on qualified dividends is 15% (for most people).

More dividends sound good to me but they should be based on retained earnings, not on getting a tax holiday from the government.
 
Will Apple's success skewed so much toward the iPhone, there is a lot of pressure present. Too bad Mac sales can't be at least 25% of their profits...:(
 
Only a small fraction of the installed base has upgraded. A lot more people within the installed base. Also point out that we had the highest number of customers new to iPhone than in any prior launch. Current iPhone lineup experienced highest Android switcher rate than any 3 previous years.
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:eek:

They won't sell as many next quarter as this one, but it seems likely they're going to sell way more than they did in the year-ago same quarter.
 
mercuryjones said:
That said, Apple needs to think about investing some of that cash into new avenues. They are ready to move into wearables with the Apple Watch, but with what Microsoft announced last week (HoloLens), Apple needs to step up and wow the world with something amazing.
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Google has just given up on Google Glass. What I find is telling is that you use a word that journalists and bloggers love ("wearables") when what Apple is producing is a watch.

I think Apple isn't about "wowing the world" but about continuously improving and making products that lots and lots and lots of people buy.
 
I have to laugh at the Watch questions as if Cook would admit on this call the it's behind schedule.
 
MacFather said:
Apple is now officially a "me-too" bandwagon company that makes very refined products that its core audience and followers will of course, embrace. Nothing less, and certainly nothing more now.
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Other than big screens, nothing about the iPhone can be called 'me too'. It is not competing on spec, or price, unlike every Android phone.

Before the 6 the iPhone sold incredibly well. It wasn't failing and big screens were Apple's way of turning it around, they were something people wanted.

The Apple Watch does seem to be taking a few risks. A product that relies on iPhone to work? In a category that has so far failed to capture much of an audience?

It's all perspective. Steve Jobs could make evolutionary updates seem incredible.
 
MacFather said:
I think this is a very clear cut example of Tim Cooks Apple researching and then following market demand and trends to maximize profits and increase market share for the iphone. What it does not do though, is follow the pioneering spirit and vision which was Steve Jobs to make products that were innovative, cutting edge, inventive, and above all...ones that took a chance and were the stuff of imagination. I think that the average person can see the total different direction under two different CEO's. It may not necessarily be a bad thing, especially for the profits of Apple, but I think that people who try and make the case that this company has any soul of what it once was, is lying to themselves and us. Apple is now officially a "me-too" bandwagon company that makes very refined products that its core audience and followers will of course, embrace. Nothing less, and certainly nothing more now.
Click to expand...

I hear the spirit of Steve Jobs is still roaming the hallways at Apple... and obviously something is working.

But what about the other companies who NEVER had a Steve Jobs character in their existence? Aren't they in even worse shape than Apple?

At least Apple had Steve Jobs... and don't forget that he CHOSE Tim Cook as his successor. And he also told Tim NOT to ask "what would Steve do?"

That might explain why Apple is going in a total different direction under Tim Cook.

BUT.... that direction is success, prosperity, etc.

You can't say Apple has "failed" under Tim Cook... can you?
 
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