Apple had another record-setting quarter, by its own account, putting another 22.9 million iPads and 47.8 million iPhones on consumers’ hands — that’s over 70 million more e-reading devices in the marketplace in just 13 weeks.
While the Mac and iPod businesses dipped slightly versus the same quarter last year, Apple was still able to generate $54.5 billion in revenue and line its pockets with $13.1 billion in profit. That’s up from $46.3 billion in revenue and flat versus $13.1 billion in profit a year ago.
While Apple touted that it was able to generate more than $4 billion a week in revenue, up from just over $3 billion last year, investors were not happy and sent Apple’s share price down nearly 10% in early after-hours trading. Both revenue and units sold were fairly in line with analyst expectations. The culprit is Apple’s forecast for its Spring quarter, which was below analyst expectations; further, the company did not give earnings guidance, which breaks with past quarters.
With a market capitalization that dwarfs the entire U.S. publishing industry many times over, publishers need not be concerned with short-term fluctuations in Apple’s share value. They should look at the 70 million iOS devices the company just put into the marketplace and consider how that might affect iBooks and its rivals — in the U.S. and abroad.