OT: Apple Misses on Disappointing iPad Sales

Who could have known? The company missed both the top line (revenue) and the bottom line (profit).

The share price of AAPL has barely moved after hours (considering the lofty price), currently trading at $602, down 7 dollars from the close.

From Bloomberg News (10/25/2012):

Apple Profit Misses Estimates on Disappointing IPad Tablet Sales

Apple Inc. (AAPL) reported profit that missed analysts’ predictions as customers held off on iPad purchases before the release of a new model.

Profit rose to $8.22 billion, or $8.67 a share, in the fiscal fourth quarter, Cupertino, California-based Apple said today in a statement. That compares with $8.3 billion, or $8.75 a share, the average of analysts’ estimates compiled by Bloomberg. The company’s sales and profit forecasts for the current quarter also fell short of predictions.

Apple sold 14 million iPads, fewer than the 15.3 million predicted by analysts in a Bloomberg survey, as customers delayed buying old versions before the release of the iPad mini in the current quarter.

Apple’s stock was halted before the results were released. It had slipped 1.2 percent to $609.54 at the close in New York, and has shed 13 percent since reaching a record the week iPhone 5 went on sale, related partly to the company’s struggle to keep up with demand for the smartphone.

First-quarter earnings will be about $11.75 a share on sales of about $52 billion, Apple said. That compares with analysts’ estimates of $15.49 a share on sales of $55.1 billion.

(Full article at the link)

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