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As expected, Apple just announced its fiscal year 2014 first quarter results for the all-important holiday quarter. It’s Q3 report only included less than a month of sales for the new iPhone 5s, 5c and revamped MacBooks, making today’s report the first to include a full three-month period of sales for the new devices on top of the expected boost in revenue leading into the holidays. It’s also the first report since Apple shipped the new Retina iPad mini, iPad Air, and Mac Pro.

Apple reported record quarterly revenue of $57.6 billion, which lands between its guidance for the quarter of $55-$58B and estimates by analysts averaging approximately $58.1B. It also reported net quarterly profit of $13.1 billion, or $14.50 per diluted share. Those numbers compare to the revenue of $54.5 billion and net profit of $13.1 billion reported in the same quarter last year.

Break down of device sales for Q1 2014 include 51 million iPhones, 26 million iPads (both all-time quarterly highs), 6 million iPods and 4.8 million Macs. Prior to today’s report the consensus from an average of analyst estimates predicted Apple would sell approximately 55M iPhones, 25M iPads, and 4.6M Macs.

“We are really happy with our record iPhone and iPad sales, the strong performance of our Mac products and the continued growth of iTunes, Software and Services,” said Tim Cook, Apple’s CEO. “We love having the most satisfied, loyal and engaged customers, and are continuing to invest heavily in our future to make their experiences with our products and services even better.”

Apple’s press release also notes that the board has decided on a dividend of $3.05 per share payable to shareholders on February 13, 2014. “We generated $22.7 billion in cash flow from operations and returned an additional $7.7 billion in cash to shareholders through dividends and share repurchases during the December quarter, bringing cumulative payments under our capital return program to over $43 billion,” said Peter Oppenheimer, Apple’s CFO.

Apple is providing guidance of $42 – $44 billion for next quarter. Apple executives will be holding a conference all at 2:00 p.m. PST/5:00 p.m. EST to discuss the results of its FY14 first quarter report and likely take questions from press.

Apple Reports First Quarter Results

iPhone and iPad Sales Drive Record Revenue and Operating Profit

CUPERTINO, Calif.–(BUSINESS WIRE)–Apple® today announced financial results for its fiscal 2014 first quarter ended December 28, 2013. The Company posted record quarterly revenue of $57.6 billion and quarterly net profit of $13.1 billion, or $14.50 per diluted share. These results compare to revenue of $54.5 billion and net profit of $13.1 billion, or $13.81 per diluted share, in the year-ago quarter. Gross margin was 37.9 percent compared to 38.6 percent in the year-ago quarter. International sales accounted for 63 percent of the quarter’s revenue.

“We love having the most satisfied, loyal and engaged customers, and are continuing to invest heavily in our future to make their experiences with our products and services even better.”

The Company sold 51 million iPhones, an all-time quarterly record, compared to 47.8 million in the year-ago quarter. Apple also sold 26 million iPads during the quarter, also an all-time quarterly record, compared to 22.9 million in the year-ago quarter. The Company sold 4.8 million Macs, compared to 4.1 million in the year-ago quarter.

Apple’s Board of Directors has declared a cash dividend of $3.05 per share of the Company’s common stock. The dividend is payable on February 13, 2014, to shareholders of record as of the close of business on February 10, 2014.

“We are really happy with our record iPhone and iPad sales, the strong performance of our Mac products and the continued growth of iTunes, Software and Services,” said Tim Cook, Apple’s CEO. “We love having the most satisfied, loyal and engaged customers, and are continuing to invest heavily in our future to make their experiences with our products and services even better.”

“We generated $22.7 billion in cash flow from operations and returned an additional $7.7 billion in cash to shareholders through dividends and share repurchases during the December quarter, bringing cumulative payments under our capital return program to over $43 billion,” said Peter Oppenheimer, Apple’s CFO.

Apple is providing the following guidance for its fiscal 2014 second quarter:

• revenue between $42 billion and $44 billion

• gross margin between 37 percent and 38 percent

• operating expenses between $4.3 billion and $4.4 billion

• other income/(expense) of $200 million

• tax rate of 26.2 percent

Apple will provide live streaming of its Q1 2014 financial results conference call beginning at 2:00 p.m. PST on January 27, 2014 at www.apple.com/quicktime/qtv/earningsq114. This webcast will also be available for replay for approximately two weeks thereafter.

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9 Responses to “Apple reports $57.6B revenue for Q1 2014: 51M iPhones, 26m iPads, 4.8m Macs, 6m iPods”

  1. Tallest Skil says:

    Apple’s obviously doomed. They didn’t meet analyst expectations.

    • Erik Batku says:

      Analyst expectations are far too exaggerated. Even if Apple did miss an expectation, they still had record iPhone and iPad sales, so it’s obviously going well for them. Too bad analysts always exaggerate things and that’s what pulls the Apple stock down.

  2. PMZanetti says:

    How long until 1 billion iOS devices?

    • They have now passed 780 million iOS devices so at the current rate should hit 1 billion devices in about 9 months or so.

      • acslater017 says:

        The holiday quarter is extraordinary – they will not continue to sell 70 million units per quarter :) You can expect a huge drop off in Jan-Feb, with steady pickup throughout the year from press events, WWDC, Summer break, Back to School, and finally the Fall new product releases.

        Personally, I preferred it when Apple stuff was spread throughout the calendar. iPads in Spring, WWDC and Macs in Summer, iPhones in Fall. At least for a hardcore fan, it kept me excited all year and more likely to whip out the wallet! Nowadays, there’s a flood from September-November, then drought the rest of the year :(

  3. Winski says:

    And the stock cratered 9 %… THAT’S a lot…

  4. porschinator says:

    It hilarious how Analyst expectations can affect stock especially in Apples case. Analyst can come up with a crazy aggressive large # and if you dont reach it then you are doomed. Forget that you are making record breaking revenue. This in the end screws the stock holders.

  5. William May says:

    The iPhone sales are disappointing and that resulted in flat overall revenue. I think people were looking for a y/y increase more like the iPad results. I think this reflects the failure of the 5c strategy to increase sales substantially. Apple could sell tons of a truly lower cost iPhones, but they do not want to sell it at a low enough price because they do not want to compromise flagship sales and margins.
    On the other hand, iPad sales are excellent. They gave people two really compelling products and they sold well.
    The upcoming challenge is to give people what they have avoided giving them in phones—a larger screen with more pixels. It will be a great phone. So great that they can sell the 4 inch “6c” at a lower price and not compromise flagship sales.

  6. iPhone’s share is 69% of japanese mobile market.