Apple Shines, Amazingly No Worms (AAPL)

Apple Inc. (NASDAQ: AAPL) has reported earnings, although it also now has the SEC looking into the company via an inquiry over its disclosure practices.  Earnings were  $1.78 non-GAAP EPS and $10.17 billion in revenue.   Consensus estimates from Thomson Reuters (First Call) were $1.39 non-GAAP EPS and $9.75 billion in revenue.  Its gross margin was 34.7%, equal to the year-ago quarter.

Among the highlights:

• The company sold 2,524,000 Macs, 9% growth;
• The company sold a record 22,727,000 iPods, 3% growth;
• The company sold 4,363,000 iPhone units, 88% growth.

Steve Jobs called this the first $10+ billion revenue quarter, and CFOPete Oppenheimer said the company generated $3.6 billion in cash duringthe quarter.

The company issued guidance of $0.90 to $1.00 non-GAAPEPS and revenue of $7.6 billion to $8.0 billion.   Consensusestimates for the coming quarter are $1.13 non-GAAP EPS and $8.20billion in revenue. 

Shares closed up almost 6% at $82.83 in regular trading, and shares soared 10% at $91.10 in the initial reaction to the data.

Jon C. Ogg
January 21, 2009