With Qualcomm’s powerful, versatile and efficient Snapdragon S4 taking the mobile world by storm, it should come as no surprise that the company’s accountants are smiling more than ever. Today, the firm posted earnings for the fourth quarter of 2012, which includes a net income of $ 1.27 billion with revenues of $ 4.87 billion. In terms of profit, these figures represent a 20 percent year-over-year increase and a five percent bump when compared to the previous quarter. A peek inside Qualcomm’s books reveal that the company is now sitting on $ 43 billion in assets and $ 9.4 billion in liabilities — if only our own pocketbooks were overflowing in similar fashion. Feel free to count some beans for yourself at the source link below.
Europe is a key market for Apple. Last quarter it remained the second-highest revenue generating region after the U.S. Yet it’s an increasingly challenging market, yielding the lowest growth of any region for Cupertino in its Q3. And for smartphones at least, it’s also a market firmly in thrall to Google’s Android OS (not that Apple would put it that way). In its Q4 earnings today, Apple reported total revenues of $ 8,023 billion in Europe for Q4, down three percent on the previous quarter. Total revenues in the region were up eight percent year-on-year, but sales of Macs were down three percent.
The iPhone 5 launched in the U.S. during Apple’s Q4 — but Apple does not break out iPhone (or iPad) sales by region. Cook also noted that: ”We launched iPhone 5 in the US during the quarter, and while we launched in some international countries in the bulk of the world we did not launch in and so I would have expect to have seen more significant growth in the US vs the rest of the world.”
In contrast to tough times in Europe, Cook lauded a “really phenomenal” quarter in China during the Q4 earnings call, with full year revenue $ 22.8bn — up over $ 10bn year-on-year. He said Greater China “now represents about 15 percent of Apple for the fiscal year”.
In its Q3 earnings, Cupertino blamed the tough macro-economic situation in Europe for softening demand for its products and leading to “essentially flat” sales — indeed, it blamed the region for a rare miss against Wall Street expectations in Q3, along with speculation about forthcoming products (ie the iPhone 5). France, Greece and Italy were singled out as being “particularly poor” during the quarter, while Germany saw “only single digital positive growth” in Q3. The U.K. bucked the trend, delivering “solid” 13 percent growth.
Google’s Android OS is making life increasingly difficult for Apple in Europe. In its most recent report from September, market research firm Kantar Worldpanel ComTech (KWC), which tracks 12-week smartphone buying patterns, reported that Android had increased its share in Europe by a fifth (20.2 percent) in the past year — to gain more than two-thirds of the smartphone market. Android OEMs such as Samsung have driven sales by building phones with larger screen sizes than the iPhone, such as the Galaxy Note and the Galaxy SIII. KWC noted that 29 percent of the Android devices sold in the 12 weeks prior to its report had a screen size of more than 4.5 inches.
During its fiscal Q4 Apple launched an iPhone with a larger screen — 4 inches vs 3.5 inches — and announced a smaller version of its iPad tablet as it seeks to squeeze demand for Android phablets.
In additional European Apple news, the company appears to have quietly raised the price of App Store apps in select European countries. TheNextWeb is reporting it has shifted the base price of apps from €0.79 to €0.89 in countries including Belgium, Italy, Denmark and the Netherlands. We’ve reached out to Apple for comment on the price rise and will update this story with any response.
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Ahead of taking on a fundamental shift in business strategy, Microsoft today announced revenue of $ 16.01 billion for fiscal Q1 2013. That fell just below Wall Street expectations that had called for $ 16.5 billion in sales. Net income plummeted by 22 percent to $ 5.31 billion as the company readies major hardware and software initiatives due in the weeks ahead.
As expected, Windows lagged significantly in the months preceding Microsoft’s much-publicized debut of Windows 8. The Windows and Windows Live divisions fell to $ 3.24 billion, a decrease of 33 percent compared to where things stood one year ago. That’s largely attributable to waning PC momentum: recent estimates from Gartner indicate that worldwide PC shipments fell 8 percent in…
Chinese manufacturing company PCH International has announced its 2011 full year results – reporting a big rise in revenue and record profits off the back of strong demand for smartphones, tablets and ereaders. The company, which has its corporate headquarters in Cork, Ireland and operational headquarters in Shenzhen, China, designs and makes consumer electronics in partnership with PC makers and consumer electronics brands.
PCH International reported a 72 percent increase in revenue for the year — to $ 710 million — while gross profit for the year totalled $ 70.7 million, an increase of 46.6 percent year-on-year, translating to a net profit of $ 17.9 million. EBITDA amounted to a record $ 24.5 million — a 37.9 percent year-on-year rise.
Commenting on the results, CEO Liam Casey pointed to the company’s focus on supply chain and speeding up time-to-market for its customers’ products as key factors contributing to its growth
We operate in a very fast-paced and dynamic industry and we are working with the world’s top brands and world’s best entrepreneurs. This means we have to continuously adapt to offer our customers the best possible services. PCH is revolutionizing traditional supply chain models, and as a result we continue to dramatically shorten the time-to-market for the latest products on the market.
Our continued focus during 2011 facilitated not only strong growth for PCH but also continued success for our customers. We recognize the opportunities to further scale the business and are investing heavily during 2012 to ensure that PCH continues to expand our service offerings, expand the geographies in which we operate, deepen our skillset and most importantly to deliver peace of mind to our customers. We are very excited by the opportunities that lie ahead of us.
Last year PCH raised $ 30m in funding from a combination of existing and new investors — taking its total investment pot to-date to circa $ 77 million. It also launched its own business accelerator program — called PCH Accelerator – to partner with startups on projects including Intuitive Automata’s heathcare robot, Autum.Related Posts:
HP has just reported its third quarter earnings with a total revenue of $ 29.7 billion, down 5 percent from last year and about a billion less than last quarter. Its earnings were roughly in line with the flat numbers of previous quarters, but a change in valuation and restructuring costs mean the company is officially posting an $ 8.8 billion loss, something it announced it would be doing in early August. Beyond that, earnings per share met the numbers it announced shortly beforehand, exceeding previous expectations by a little. CEO Meg Whitman said these numbers reflected “the early stages of a multi-year turnaround,” and the outlook for the full year is on the low end of earlier estimates.
Although HP has said it will be releasing at…
Dell’s PC business has continued to struggle in the second quarter: the company just reported that consumer revenues have fallen to $ 2.6 billion, a 22 percent decrease compared to the same period last year. Overall revenue is said to be $ 14.5 billion, an 8 percent drop that Dell attributes to the troubled economic climate and a dip in desktop and mobile computing sales. That lines up with analysis we saw earlier this month when Canalys predicted that hardware shipments from both Dell and HP would take a major hit — a stark contrast to the booming tablet market.
The company’s enterprise segment was easily the highlight of the quarter, growing 6 percent year over year to $ 4.9 billion and representing 34 percent of Dell’s consolidated…
AMD has announced its preliminary results for the second quarter of the year, and things aren’t looking good, with revenue expected to drop by approximately 11 percent sequentially. The news comes after AMD reported a $ 590 million net loss in the first quarter of the year, at which point it forecasted an increase of three percent sequentially for Q2, “plus or minus three percent.” The company cites both “softer-than-expected” sales in China and Europe as well as a “weaker consumer buying environment” as reasons for the drop. According to a Bloomberg survey, the 11 percent decrease would amount to approximately $ 1.41 billion in revenue, which would be a drop from last quarter’s $ 1.59 billion. AMD will be reporting its full second quarter…
Not like we haven’t seen this dog-and-pony show before, but Flurry’s latest round of analytics — which measured revenue of 11 million daily active users from mid-January through the end of February 2012 — shows Amazon’s Appstore pulling in a shocking amount of revenue given the short life that it has lived. Apple’s strength in sales has been well documented, but the latest report shows that for every $ 1 generated in the iTunes App Store, $ 0.89 is being spent in the Amazon Appstore. Looking more broadly, the numbers show that just $ 0.23 are generated in the Google Play halls for every $ 1 spent in the App Store, but that’s hardly a new phenomenon; the ease of sideloading (amongst other factors) has raised complaints from Android developers for years now. Flurry’s conclusion is that Google’s core strength simply isn’t in running a store — something it’s about to do once more with Android slates — while both Apple and Amazon excel in doing just that. Curiously, Windows Phone and BlackBerry were left off of this report, but we’re hoping to see those cats thrown in the next ‘go round. After all, RIM sure seems certain that its developers are making out just fine.
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CEO Tim Cook described Apple’s conquest of emerging markets today at the Goldman Sachs Technology and Internet Conference. He said “In 2007, and we didn’t launch the iPhone outside the U.S. until 2008, Apple’s revenue combined from greater China and several other parts of asia, India, Eastern Europe, the Middle East, Africa, and Latin America was $ 1.4 billion. Revenue for that group of countries last year was $ 22 billion. We’re only on the surface.”
Cook explained that the iPod didn’t take off as quickly in the developing world “because people were already getting music from their phones. But the world changed for us with iPhone. It introduced our brand to people who had never met Apple before.”
“The iPhone is creating a halo for the Macintosh, and for iPads. We see the synergistic effects of the markets not only in the developed markets, but in the emerging markets.” Next, Apple will focus on Brazil, Russia, and China, where Cook said Apple’s sales were $ 13 billion last year.
Cook also mentioned his belief that the tablet market will soon surpass the PC market. Regarding the iPad, “55 million units shipped is something no one would have guessed. It took us 22 years to sell 55 million Macs, it took 5 years to sell 55 million iPods, 3 years to sell that many iPhones. It’s on a trajectory that’s off the charts.” Check out MG Siegler’s roundup of Apple’s jaw-dropping Q1 2012 numbers for more the rise of the iPad.
In his final statement, Cook talked about his role sheparding Apple as the successor to Steve Jobs, “I’m not going to witness or permit the slow undoing of it. Steve grilled into us over the years that the company should revolve around great products and that we should stay extremely focused on a few things…and only go into markets where we can create a significant contribution to society, not just sell a lot of units.”
“We’re always focused on the future. We don’t sit and think about how great things were yesterday.”
[Image Credit: MIT]
Smartphones and tablets maker HTC this morning said it foresees a huge drop in revenue (PDF) in the first quarter, citing “short-term difficulties” as it gears up to – reportedly – launch four new phone models at the Mobile World Congress later this month.
The Taiwanese company sees revenue dropping as much as 36 percent in Q1, to between NT$ 65 billion and NT$ 70 billion (roughly $ 2.2 and $ 2.4 billion) due to this “product transition”.
In PR speak, that sound something like this:
Despite short-term difficulties, momentum will resume in the upcoming product cycle driven by HTC’s brand strength, innovation, and design/engineering capabilities
The smartphone maker also said it expected gross margin to come in at around 25 percent, and operating margin at 7.5 percent, which is down from 27.1 percent and 12.7 percent in the previous quarter. Again, HTC says it expects these margins to “normalize” after the debut of the new phones.
In other words, HTC has a heck of a lot riding on these new smartphones selling like hotcakes, as it feels the pressure from Apple’s overwhelming iPhone success and an increasing number of manufacturers churning out and selling competing Android-powered devices by the millions.
It’s About Time: HTC To Refocus Smartphone Efforts Around “Hero” Devices
Is HTC’s 20% Revenue Dip Last Month A Sign Of Things To Come?