July 25, 2012- Apple, Inc. reported its third quarter results on Tuesday. Sales were up by 24% from the same quarter last year and profit was up by 21% from a year ago. Nevertheless, the tech giant did not meet analysts’ forecasts for the quarter.
The results for the fiscal third quarter for Apple were well short of the forecasts for analysts on Wall Street. The most valuable company in the world announced its net income had increased to $8.8 billion or $9.32 a share. The forecasts for analysts had been for net income to be $10.36 a share. Sales at Apple increased to $35 billion, which was well short of the forecasted $37.2 billion.
Apple, even though it did not meet Wall Street expectations, set a record for iPad sales at 17 million. The third generation tablet was launched in March in the U.S. and in many countries not until last month.
The disappointment that was the biggest for Apple was its iPhone, the no.1 generator of income for the company. Apple said it sold over 26 million iPhones for the quarter, a huge drop off from the last few quarters.
Apple had previously warned that sales from the iPhone would decline compared to previous quarters, but analysts at Wall Street were expecting to see sales in the range of 29 million.
Sales of Mac increased to four million, while sales of iPods dropped to just 6.8 million. After hours, the price of stock for Apple dropped by nearly 5% to $570.