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Apple Halted As It Reports $20.34 Billion In Q4 Revenue, $4.64 In Earnings, Big Miss In iPad Sales Expectations

Tyler Durden's picture




 

Apple is halted as it beats top and bottom line: Q4 revenue USD 20.34BN vs. Exp. USD 18.90BN, Q4 EPS USD 4.64 vs. Exp. USD 4.10. Margins come weak, but that does not stop Steve Jobs from proclaiming: “We are blown away to report over $20 billion in revenue and over $4 billion in after-tax earnings—both all-time records for Apple.” Looks like ES is certainly not as impressed as the gaunt CEO, as the company undersells iPad by a big margin: Q4 iPads units sold 4.19mln vs. Exp. 4.81mln.

Full breakdown.

  • Q4 revenue USD 20.34bln vs. Exp. USD 18.90bln
  • Q4 iPhone units sold 14.1mln, up 91% vs. Exp. 11.7mln
  • Q4 gross margin 36.9%
  • Q4 iPod units sold 9.05mln, down 11%
  • Q4 iPads units sold 4.19mln vs. Exp. 4.81mln
  • Q4 operating income USD 5.45bln
  • Q4 gross profit USD 7.51bl;n
  • Q4 operating expenses USD 2.07bln
  • Q4 net USD 4.31bln
  • Q4 Mac units sold 3.89mln
  • sees Q1 EPS USD 4.80 vs. Exp. USD 5.03
  • sees Q1 revenue USD 23bln vs. Exp. USD 22.34bln

Full earnings release here.

 

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Mon, 10/18/2010 - 16:39 | 659172 Cognitive Dissonance
Cognitive Dissonance's picture

CNBC saying iPods and iPads sales not as high as hoped.

Q1 EPS $4.80 vs. Exp. $5.03 estimated

Mon, 10/18/2010 - 16:37 | 659175 Gubbmint Cheese
Gubbmint Cheese's picture

So now Apple will account for what.. 58% of the NASDAQ?

What a joke.

 

Tue, 10/19/2010 - 01:15 | 660470 flacon
flacon's picture

Watch it live (afterhours trading):

 

http://www.youtube.com/watch?v=7Qcsw_MlUXM

 

Mon, 10/18/2010 - 16:37 | 659176 NOTW777
NOTW777's picture

thanks foreclosure crisis

 

AAPL - the real estate stock LOL

 

what about imortgages, ihouses

Mon, 10/18/2010 - 16:37 | 659177 unwashedmass
unwashedmass's picture

 

pretty lukewarm response from the market. guess Ben is going to have to find some other "market leader" to take to the moon.

 

 

Mon, 10/18/2010 - 16:39 | 659184 LeBalance
LeBalance's picture

All monies in the world bids for the same tulip.

Mon, 10/18/2010 - 21:35 | 660071 Problem Is
Problem Is's picture

Classic...

After all... Jobs is a "bulb."

Mon, 10/18/2010 - 16:39 | 659186 Lord Peter Pipsqueak
Lord Peter Pipsqueak's picture

So what?AAPL hasn't got to $375 yet,so nothing else matters.This the new paradigm,earnings and profits do not matter any more,only the value of the dollar and the expectation of more QE.

Earnings are soooo.... eighties.

Mon, 10/18/2010 - 16:44 | 659208 homersimpson
homersimpson's picture

Bingo. I'm sure CNBC will be able to spin this as a situation as a "what if" scenario. For example: "With the results as they are now, what if they could sell some more iPads? Imagine the possibilities!"

DJI up 100+ tomorrow. If not, Wed 'cuz of POMO.

Mon, 10/18/2010 - 16:40 | 659188 RaymondKHessel
RaymondKHessel's picture

Selling all my SLV to load up on ipads !!!

Mon, 10/18/2010 - 16:41 | 659190 Argonaught
Argonaught's picture

patience....the ramp will start late tonight and AAPL will open big green tomorrow.  Right now, investors are trading.  When they are done unloading this pig, the CPUs will start the same game as every night.

Mon, 10/18/2010 - 16:41 | 659191 John McCloy
John McCloy's picture

Apple..great company..fun and great easy interface products and a domination of app sales and iTunes however there are alot of considerations .
Their numbers are only and always superb because of the margins they enjoy. These margins cannot continue for all time as the discrepnancy between those with money and those without grows wider.
Expansion costs money.
Google android is the first of many phone competitors. Technology is exponential and the competiton will not many at bay.
Ipads camnibalize Macs
iPhone cannibalize iPod.

Unless Apple launches a Touch LCD and goes after Netflix or begins to work toward a digital film library aversion away from DVDs and Blurays like MP3s I see tame growth.
Maybe an entrance into gaming?

Mon, 10/18/2010 - 16:43 | 659202 Dr. No
Dr. No's picture

"Maybe an entrance into gaming?"  God help us gamining with a one button...correction..no button, mouse

Tue, 10/19/2010 - 02:15 | 660528 jeff montanye
jeff montanye's picture

thought gamines had one button.

Mon, 10/18/2010 - 16:50 | 659231 Ned Zeppelin
Ned Zeppelin's picture

My problem with Apple long term. What gadget is next? I looked at the new Dell, Sony and HP touchscreen PCS this weekend and they looked alot better and were priced alot cheaper than the Apple stuff, plus they have the touchscreen controls that Apple does not.

I still remember what a bomb quadrophonic sound was (yes, old.)  And I see the same thing in 3D TV: one step too far.

Wake me up when Apple brings out one of those Tom-Cruise-in-Minority-Report computer interfaces. If Apple still exists when Google and Android brings those out.

Mon, 10/18/2010 - 17:02 | 659311 Dr. No
Dr. No's picture

note to self: register "iMinorityreport.com" domain....

Mon, 10/18/2010 - 17:20 | 659391 rosiescenario
rosiescenario's picture

....and the other issue with aapl is their flimsy products...designed to break.

Mon, 10/18/2010 - 18:45 | 659663 ILikeBoats
ILikeBoats's picture

I too have been looking at the touchscreen PCs, however, in trying to actually use the interface, I have been underwhelmed.  If you don't touch exactly where you should, the window won't close or the click won't register.  I think that there is a mismatch between the high resolution screen and the accuracy of pointing that is required - basically the UI needs to be more forgiving and able to figure out what you are trying to do even if you don't hit exactly the right place with your finger.

Tue, 10/19/2010 - 00:46 | 660440 Saxxon
Saxxon's picture

I watched this afternoon as a couple of 50-something American chubbies in their t-shirts, shorts and baseball caps, gender virtually indistinguishable, played delightedly with their I-Pad on the BART across the bay.

It's a fucking TOY.

SHort.

Mon, 10/18/2010 - 16:41 | 659192 Ragnarok
Ragnarok's picture

Would someone like to explain the close SPY?

Mon, 10/18/2010 - 16:43 | 659200 Hunch Trader
Hunch Trader's picture

yes indeed, 106.46 -9.55% ??

 

Mon, 10/18/2010 - 16:51 | 659237 The Mummy
The Mummy's picture

That's what I call wishful thinking :D

Mon, 10/18/2010 - 17:13 | 659367 chet
chet's picture

The chart on CNN money showed the plunge a couple minutes ago, but now it's all gone.  Though they still report the -9.5!

Nothing to see here!

Mon, 10/18/2010 - 16:44 | 659204 nwskii
nwskii's picture

No Shit

Flash Crash Bitchez

Mon, 10/18/2010 - 16:45 | 659205 bob_dabolina
bob_dabolina's picture

ref: /dx (dollar index) blew it's load all over the futures

Mon, 10/18/2010 - 16:46 | 659215 Ragnarok
Ragnarok's picture

Someone big betting on a reversal or thin "market"?

Mon, 10/18/2010 - 16:57 | 659271 bob_dabolina
bob_dabolina's picture

Someone big like a SWF. I'm not sure but thats some big money trading.

Mon, 10/18/2010 - 16:44 | 659210 AccreditedEYE
AccreditedEYE's picture

I've said it before and I'll say it again... Math in pictures bitchez. The chart needed to "look corrected" and computers made it happen.

Mon, 10/18/2010 - 16:47 | 659222 John P. Morgan
John P. Morgan's picture

WTF?

Mon, 10/18/2010 - 17:09 | 659344 mule65
mule65's picture

Nothing to worry about.  WOPR will have everything sorted out by the open.

Mon, 10/18/2010 - 16:41 | 659193 NOTW777
NOTW777's picture

before there was all this hi-technology and super electronic trading, stocks were not halted just because of earnings release.

why the halt??

Mon, 10/18/2010 - 16:44 | 659203 morph
morph's picture

To my memory apple hasn't halted before....when it was reporting blow out blow out earnings.

Mon, 10/18/2010 - 16:47 | 659214 Dr. No
Dr. No's picture

NASDAQ has been pulling this crap for the last few quarters.  I remember AA halted on no news for the last two periods!  INTC is always halted....snooze.

 

EDIT: i bet it is due toreset  Algo loops.  on a "halt" , set count=0;

Mon, 10/18/2010 - 17:49 | 659506 NOTW777
NOTW777's picture

my bet - someone unfairly benefits

Mon, 10/18/2010 - 16:43 | 659197 AccreditedEYE
AccreditedEYE's picture

AHAHAHAHAHA!!! You know, the great thing about these "growth forever" stories is watching them fall flat on their face. I'm licking my chops for the day I can watch AAPL's parabolic chart implode and take the market down with it.

Mon, 10/18/2010 - 16:43 | 659198 morph
morph's picture

QQQQ sinking

Mon, 10/18/2010 - 16:43 | 659201 Turd Ferguson
Turd Ferguson's picture

This is quite simple, really.

1) French "unrest" leads to Euro selloff and $ strength for the next two weeks or so.

2) Dollar "recovers" back up to 79 or so USDX. Gold and other commodities go down.

3) Stock "market" doesn't drop, however, as Fed/POMO/PD alliance keeps it up through daily purchases of AAPL.

4) Fed now free to announce QE2, as scheduled, on 11/3.

Mon, 10/18/2010 - 17:00 | 659292 Ned Zeppelin
Ned Zeppelin's picture

+1, Mr. Turd. 

Mon, 10/18/2010 - 16:44 | 659209 aroket
aroket's picture

AAPL will be up 10% tomorrow on these news  lol

Mon, 10/18/2010 - 16:45 | 659211 London Dude Trader
London Dude Trader's picture

IBM is also down >3% post earnings.

 

NDX futures down >1% post IBM and AAPL earnings.

Mon, 10/18/2010 - 16:48 | 659223 JNM
JNM's picture

VMW, CRM joining the party.

Mon, 10/18/2010 - 16:46 | 659217 RaymondKHessel
RaymondKHessel's picture

QE(¥)

Mon, 10/18/2010 - 16:48 | 659226 Johnny Yuma
Johnny Yuma's picture

We've got a cascading waterfall happening in after hours trading... This market as we know has been artificially propped up for too long. The only strong up days have been POMO. When there's selling, we get a Doji to offset the BS buying. Something's going to give big time. This can't and won't last forever...

Mon, 10/18/2010 - 16:50 | 659232 justcurious
justcurious's picture

ouch did we just hear a pop... Apple bubble bursting.

Mon, 10/18/2010 - 16:51 | 659236 RobotTrader
RobotTrader's picture

Stocks taken out back and shot:

VMW

IBM

AMZN

AAPL

RVBD

CRM

H

Mon, 10/18/2010 - 16:54 | 659251 max2205
max2205's picture

vmw -7%

Mon, 10/18/2010 - 17:01 | 659307 Ned Zeppelin
Ned Zeppelin's picture

++1

Mon, 10/18/2010 - 17:12 | 659358 Careless Whisper
Careless Whisper's picture

by 4:00 tomorrow IBM and AAPL could be 'unched'

VMW.... put a fork in it

remember GS and BAC report in the morning, so we could see rotation in to the banks... who knows.

 

Mon, 10/18/2010 - 17:52 | 659519 The Rock
The Rock's picture

in after-tax earnings

What a crock, do any of these companies pay any taxes?! (hint: NO!)

Mon, 10/18/2010 - 16:52 | 659240 PicassoInActions
PicassoInActions's picture

CNBC 


Apple Profit Blows Past Forecasts on Strong iPhone Sales

http://www.cnbc.com/id/39725163

 

 

Mon, 10/18/2010 - 17:10 | 659348 PicassoInActions
PicassoInActions's picture

Gotta give credit to cnbc

those bastards already cahnged headline to

"


Apple Profit Beats Forecasts, but iPad Sales Light"

 

Damn...

Mon, 10/18/2010 - 18:20 | 659590 SoCalBusted
SoCalBusted's picture

Same as WSJ Online.  After hours selloff just a footnote.  More skittles for everybody!

Mon, 10/18/2010 - 16:53 | 659242 ZeroPower
ZeroPower's picture

Currently $296 prints in a/h...

Owned.

Mon, 10/18/2010 - 16:53 | 659244 Cleanclog
Cleanclog's picture

And CNBC won't show the trading and percent down after a teensy 10 second comment.

 

Mon, 10/18/2010 - 17:04 | 659320 Cleanclog
Cleanclog's picture

Fast Money being "allowed" to talk about Apple #s, but only after they said that this is a buying opportunity.

Mon, 10/18/2010 - 17:04 | 659321 Cleanclog
Cleanclog's picture

Fast Money being "allowed" to talk about Apple #s, but only after they said that this is a buying opportunity.

Mon, 10/18/2010 - 17:07 | 659323 Cleanclog
Cleanclog's picture

Sorry!!!! I was trying to delete the repeated comments.  FAIL!

Mon, 10/18/2010 - 16:54 | 659249 Pillage
Pillage's picture

QE2 will fix it in a jiffy, no problemo

Mon, 10/18/2010 - 16:54 | 659257 max2205
max2205's picture

timber!!

Mon, 10/18/2010 - 16:55 | 659261 mule65
mule65's picture

I'm sure Harry Wanger sold at the peak LOL.

Mon, 10/18/2010 - 20:57 | 660004 espirit
espirit's picture

In previous post, Harry said he sold before the $310 cutoff.

Mon, 10/18/2010 - 16:56 | 659263 boricuadigm-shift
boricuadigm-shift's picture

What you guys think?

http://www.cnbc.com/id/39727942

This is the smarter money preparing for what is coming!

Mon, 10/18/2010 - 16:56 | 659265 max2205
max2205's picture

Ben, this is Tim.  Buy $6 B SPY at market

Mon, 10/18/2010 - 17:09 | 659345 Cognitive Dissonance
Cognitive Dissonance's picture

Buy $6 Billion AAPL at market........now.

Mon, 10/18/2010 - 16:56 | 659266 Cleanclog
Cleanclog's picture

Look at $, gold, IBM and Apple.  Not so pretty after hours.  

But BAC will save the markets as it resubmits resigned foreclosure docs.

Mon, 10/18/2010 - 16:56 | 659269 Cow
Cow's picture

good call earlier by Reggie Middleton on Apple

Mon, 10/18/2010 - 16:57 | 659278 Bill Lumbergh
Bill Lumbergh's picture

Where is Wanger...him not being here yet is like Leo not commenting on a Chinese solars release.

Mon, 10/18/2010 - 16:58 | 659281 RaymondKHessel
RaymondKHessel's picture

DROID bbbbeeeeeeeeeeiiiiittttttccccchhhhhhweeeeeezzzzzzzzzzz

Mon, 10/18/2010 - 16:59 | 659288 nwskii
nwskii's picture

I agree, Im thinkin about going back to sprint

Mon, 10/18/2010 - 17:07 | 659332 RaymondKHessel
RaymondKHessel's picture

ZH is the only reason I'm even on the grid at all. Just watched Die Hard 4 again - everything is computerized - accounts stocks all of it could go to ziltch in a split second - I need to buy more silver coins - they just look cool and seem to be worth more lately too ;)

Mon, 10/18/2010 - 16:57 | 659282 Jim in MN
Jim in MN's picture

Somewhere safer where the feelin stays

I want to love you but I get so blown away (cue guitar solo)

Mon, 10/18/2010 - 16:58 | 659283 buzzsaw99
buzzsaw99's picture

And the next twenty quarters will be even better! Gotta love crAAPL, proof that infinite growth is indeed possible. I would say that ten trillion dollars is what it will sell for someday.

Mon, 10/18/2010 - 16:58 | 659284 nwskii
nwskii's picture

So how much did Benni  spend on AAPL today?

Mon, 10/18/2010 - 17:00 | 659294 Randall Cabot
Randall Cabot's picture

IBM getting hammered after hourd-down 5 bucks!

Mon, 10/18/2010 - 17:01 | 659306 ZeroPower
ZeroPower's picture

Wow, can you imagine how much the shorts will be raking it in thanks to the sell side jerkoffs who swore $400 and $500 was next for aapl?

 

Mon, 10/18/2010 - 17:02 | 659312 robertocarlos
robertocarlos's picture

In two weeks it will be back at 375.;)

Mon, 10/18/2010 - 17:13 | 659370 mule65
mule65's picture

Two weeks?! Possibly 20 minutes.

Mon, 10/18/2010 - 17:14 | 659364 Djirk
Djirk's picture

Hedgies getting spooked by a missed forecast on a new product?

iPad has had one of the fastest adoption rates of any consumer technology ever.

http://arstechnica.com/apple/news/2010/10/ipad-adoption-rate-fastest-in-...

However, other than the coolness factor, what is the real utility, what can you actually do that you can not do on a laptop and it worth the price? Will the tablet product segment burnout like the notebooks did? Will Apple's model of launching buggy minimal feature 1st generation devices fly with mass market? Will this fjukin iPhone make it through a whole phone call?

 

Mon, 10/18/2010 - 17:17 | 659381 Jupiter0
Jupiter0's picture

I guess the apple zombies didn't feel like paying up for essentially a weak minicomputer. a sad day for screen-tappers around the globe

Mon, 10/18/2010 - 17:22 | 659397 sbenard
sbenard's picture

This news alone was what crashed the stock futures after market close?

Mon, 10/18/2010 - 21:08 | 660020 The Real Fake E...
The Real Fake Economy's picture

they haven't really even opened up the markets to China.  once Apple widely starts selling its pads out here, those ipads will have blow out numbers.  was at a conference in HK last week and every Dick and Jane had one.  Mainland wants it in numbers, Apple is creating the demand and making the mainlanders paitiently wait their turn.  then BAM!!  I would love nothing more if this thing went down, because I personally see real growth here. 

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Tue, 10/19/2010 - 00:12 | 660398 Al Huxley
Al Huxley's picture

What I find quite funny is that on Bloomberg (as I heard on my local radio station) Apple KILLED with earnings, far beyond expectations. 

Tue, 10/19/2010 - 01:41 | 660495 Hook Line and S...
Hook Line and Sphincter's picture

Just like Ford, Apple needs to follow suit and guarantee their success with an iFinance division.

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cycjyf's picture

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