Tim Cook, Apple’s CEO. Photo EPA
That made the tech company announced on Tuesday.
Net income was $ 9.5 billion (7.4 million), significantly less than the $ 11.6 billion a year earlier. It was the first profit decline since 2003.
The disappointing results are due to the lower gross profit margin. Which was 37.5 percent compared to 47.4 percent in the same quarter in 2012. For the coming quarter, Apple provides a lower gross profit margin of 36 to 37 percent.
More competition in tablet market
The decrease is due to the increasing competition in the tablet market. This year there are an estimated 30 to 40 percent sold more tablets. The biggest growth is in the cheaper 7-inch models are often run on Google’s Android. According to market researcher IDC, Apple this year’s leading position in the tablet market losses on Android tablets.
To defend market share last year Apple introduced the iPad Mini. The profit margin on the smaller and cheaper iPad is however lower.
The lower price of the iPad Mini (335 euros compared to 505 euros for the latest iPad) has affected the turnover, as well as the affordable iPad 2 (405 euros).
That is reflected in the average selling price of the iPad, obtained by dividing the number of copies sold.
sales by product category
The average selling price of the iPad was still a half years ago, over $ 600, but has now dropped to $ 449.
Apple also announced to increase to $ 100 billion through the end of 2015. its share buyback program Also, the dividend increased by 15 percent. Apple has long been for more money to return.under pressure from shareholders
trading in New York after market Apple’s share went up nearly 4 percent. Investors reacted satisfied with the expanded share buyback and higher dividend.
More iPhones and iPads sold
The company from Cupertino sold more iPhones and iPads last quarter than a year earlier. Apple sold 37.4 million iPhones worldwide, compared with 35.1 million last year. The iPad was 19.5 million sold, compared to 11.8 million units in the first quarter of 2012.
recent weeks appeared ominous reports about the selling include the iPhone and the iPad mini. That would be disappointing.sharply in the first three months of this year
Investors took this an advance by sending Apple shares last week. below the level of $ 400 Eight months ago tipped the price a historic high of more than 700 dollars.
The total sales of Apple over the past quarter was 43.6 billion dollars (33.5 billion euros).
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