Apple’s fourth quarter results that were released yesterday confirm that even though Apple dropped “Computer” from their name, computers are still a huge part of who they are and how they profit. We’ll get into those Mac details in just a minute, but first lets talk about their record breaking earnings for the quarter. It was unquestionably a huge quarter for Apple with their overall revenue exceeding $6.22 billion with a profit of $904 million. To compare, last year for the same quarter their revenue was $4.84 billion with a profit of $542 million. They have the sales of computers to thank for a good chunk of that revenue.
The growth in sales of Macintosh computers has been phenomenal. This year, 2,164,000 Macs were shipped which is 34% growth from the year prior. The sales alone of the Macs made up 62% of Apple’s revenue – more than the iPhone and iPods combined. It also appears that laptops were more trendy than desktops, making up more than 62% of Macs sold. Looking at the trend of their market share, it’s obvious that sales of Mac computers are on the rise. The graph below shows just this and while all of the numbers may not be completely accurate (data source), it provides us with an overall picture of where the Mac computer is headed.
As Mac sales reach new highs, it leaves me wondering if they’ll hit a wall anytime soon like Windows has. The Windows Market Share really hasn’t fluctuated over the last year. If Apple wants to continue the upward trend with the sales of their computers, they’re going to have to tackle the businesses sector and do something to try and get businesses on board. If they are able to do this, I think we’d see an even sharper increase in their market share.
Obviously it’s been a great quarter and an outstanding year for Apple despite a few bumps in the road. As you can imagine, these strong numbers have helped Apple’s stock quite a bit. As of this morning when trading opened, their stock rose $11.54 to $185.90 which is about double of what it was at the start of this year.