Following all of the fuss that surrounded, and in Apple’s eyes continues to surround, the iPhone 4 antenna problems you’d be forgiven for thinking that they would have taken something of a hit financially but it turns out that thanks to an incredible iPad launch and a continued lack of competition for the unique and incredible touchscreen tablet PC as well as massively increased iPhone sales figures, they have come out the other end smelling of roses. Very expensive roses and a lot of them at that.
For the quarter ending June 26th, Apple has posted revenue of $15.7bn up from $9.73bn the year before while profits have also risen dramatically from $1.83bn to $3.25bn. The company has placed the thanks for these record breaking results at the door of just about every product they make and have ever made. The sale of over 3.26m iPads and an increase in iPhone sales of 61% were certainly the main motivators behind such large increases but apparently more people are buying Macs than ever before too.
Yahoo, on the other hand, didn’t enjoy such a good quarter although they still made sizeable profits. Analysts had expected the Internet giant to post sales figures totalling $1.16bn but they only achieved figures of $1.16bn. To further compound their probably short lived misery, share prices took a tumble of around 6% on the back of these figures yesterday. The drop has been blamed on a dip of 8% in search advertising.
The news wasn’t all bad for Yahoo though. Carol Bartz, chief executive, said that search advertising figures were back on the rise again and should normalise soon enough. Meanwhile, results in other areas had improved especially a 19% increase in display advertising. Analysts also said that Yahoo’s strength in display advertising will serve them well as the social Internet continues to grow and expand.
Are you surprised at the level of profits for Apple?
Do you Yahoo?