Apple Posts Earnings Just below Expectations

October 20 00:00 2011

New York, October 20 ( – Apple’s (NASDAQ: AAPL) financial results of the last three months of Steve Jobs’ life released on Tuesday just fell short of setting a new record. Following several record quarters, the net income in the fiscal fourth quarter was $6.62 billion, or $7.05 per share which was up 54 percent from $4.31 billion, or $4.64 per share, a year ago. Earnings per share are expected to be $7.28 per share as per analysts polled by FactSet.

Although revenues went up 39 percent to $28.3 billion with Apple selling 17.1 million iPhones in the quarter ending Sept. 24, it fell short of the forecast of analysts and the results of the third quarter that saw 20.3 million phones being sold. Analysts had expected that the older models would be able to maintain their appeal even though the new model that was launched last week was eagerly awaited by iPhone buyers.

Investors are encouraged by Apple’s forecast for the current year which expects earnings of $9.30 per share and revenue of $37 billion. Usually, Apple keeps its forecast on a low-key note and analysts forecast higher figures. In this case, however, analysts forecast lower figures.

Apple’s co-founder and CEO Steve Jobs died on Oct 5, after 5 years of battling pancreatic cancer. He had resigned as CEO in August because of his ailments.