Apple iPhones Outsold by Samsung 2-to-1 in Q2, Profit Suffers
July 24, 2012 5:30 PM
comment(s) - last by
Apple still logs record profit, but sees shareholder confidence shaken by miss
The good news Apple, Inc. (
) fans is that Apple is forecast to be the most profitable American company for 2012 [
The company's calendar Q2 2012 (fiscal Q3) results, just
, revealed a 20 percent spike in profits on a year-to-year basis, soaring to $8.8B USD on a revenue of $35B USD, a profit of about $9.32 USD/diluted share.
The bad news is that Apple's iPhone sales slumped, moving only 26 million units versus an analyst consensus of 28.4 million units. Analysts had already scaled back their expectations earlier in the month from
30.5 million units
Apple's arch-rival, Android phonemaker Samsung Electronics Comp., Ltd. (
) is believed to have
sold around 50 million smartphones
for the quarter. In other words, it is out-selling Apple -- by itself -- approximately 2-to-1 in unit sales. In fact, Samsung's flagship
Galaxy S III
smartphone reportedly alone moved 19 million units. That means that Samsung's sales of just its top model are already approaching Apple's total sales.
Analysts had expected $2.2B USD more in profit (revenue of $37.2B USD).
Samsung left Apple's iPhone in the dust in Q2. [Image Source: The Tech Journal]
The remaining good news for Apple is that it moved 17 million iPads, versus the analyst expectation of 15.4 million.
Mac sales fell slightly short of the expectation -- 4 million units versus the consensus of 4.3 million. iPods -- largely marketed today as "kiddie iPhones" -- settled in at 6.8 million units, just above the 6.6 million unit consensus.
The good news regarding iPods and iPads was not enough to convince investors to overlook the profits and iPhone sales miss. Stock was down $27 USD in after-hours trading and is expected to open lower tomorrow.
sixth generation iPhone
is expected to follow a pretty straight-forward formula -- larger HD screen, LTE, and faster processor. The iPhone's current screen, processor, and modem are quite dated compared to those found in the Galaxy S III International Edition [
]. The iPhone does manage a draw on battery life, though, besting its Android rival in web-browsing life, but getting beat in talk time [
But the phone was a no-show in June, indicating Apple likely would continue to release handsets in October, following the slipped iPhone 4S launch. Some analysts had hoped Apple would "catch up" with an accelerated sixth generation launch, returning to June product announcements and late June/early July product launches.
There's background noise to the investor fear as well -- some worry that the
death of iconic CEO and visionary Steven P. Jobs
may make Apple unable to stay ahead of the curve. Indeed, Apple remains untested, in a sense, in that it has not released a major new product line since the death of Mr. Jobs.
Apple is relatively desperate to try to stop Samsung in court, seemingly unable to stop Samsung on the market. It has seen some success scoring sales bans on the
Samsung Nexus smartphone
Samsung Galaxy Tab 10.1 tablet
to secure its most hoped for ban -- a
kill shot on the Galaxy S III
Apple attorney Josh Krevitt sums up his company's plight, remarking, "Samsung is always one step ahead, launching another product and another product."
Indeed, Apple looked a step behind in Q2.
This article is over a month old, voting and posting comments is disabled
RE: iPhone inferior in every way
7/25/2012 2:20:18 AM
And Google's new voice actions show up Siri in every comparison I've seen.
"A lot of people pay zero for the cellphone ... That's what it's worth." -- Apple Chief Operating Officer Timothy Cook
Samsung Phones "Flying Off the Shelves", Posts Record $5.9B Profit
July 6, 2012, 3:14 PM
Apple Granted Preliminary Injunction Against Samsung’s Galaxy Nexus
June 30, 2012, 3:10 AM
Apple Wins Galaxy Tab 10.1 Ban in U.S.
June 27, 2012, 11:28 AM
Apple Plays Wile E. Coyote, Sees Galaxy S III Ban Attempt Foiled
June 13, 2012, 1:43 PM
Apple Looks to Kill Samsung's Galaxy S III and the Rest of Its Family
June 7, 2012, 2:08 PM
Retiree Sues Apple For $7,500 for Wiping Honeymoon Photos From His iPhone
November 30, 2015, 10:23 AM
iPhone 7 May Pack 3-4 GB Memory, More Storage; 4-Inch Comeback is Rumored
November 20, 2015, 10:12 PM
OnePlus One, OnePlus 2 Will Receive Android Marshmallow in Q1 2016
November 16, 2015, 9:58 AM
Lenovo Whoa: Motorola Droid MAXX 2 and Turbo 2 Break Cover in Leaks
October 26, 2015, 3:12 PM
Leak: Apple Preps for First Real Android App Foray With New Apple Music App
October 24, 2015, 1:59 PM
Pepsi Smartphone? Empty Calories Coming Soon to the Midrange
October 12, 2015, 11:41 PM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2016 DailyTech LLC. -
Terms, Conditions & Privacy Information