Apple Reports Fourth Quarter Results

Board Declares Quarterly Dividend of $2.65 per Common Share
CUPERTINO, California—October 25, 2012—Apple® today announced financial results for its fiscal 2012 fourth quarter ended September 29, 2012. The Company posted quarterly revenue of $36.0 billion and quarterly net profit of $8.2 billion, or $8.67 per diluted share. These results compare to revenue of $28.3 billion and net profit of $6.6 billion, or $7.05 per diluted share, in the year-ago quarter. Gross margin was 40.0 percent compared to 40.3 percent in the year-ago quarter. International sales accounted for 60 percent of the quarter’s revenue.

The Company sold 26.9 million iPhones in the quarter, representing 58 percent unit growth over the year-ago quarter. Apple sold 14.0 million iPads during the quarter, a 26 percent unit increase over the year-ago quarter. The Company sold 4.9 million Macs during the quarter, a 1 percent unit increase over the year-ago quarter. Apple sold 5.3 million iPods, a 19 percent unit decline from the year-ago quarter.

Apple’s Board of Directors has declared a cash dividend of $2.65 per share of the Company’s common stock. The dividend is payable on November 15, 2012, to shareholders of record as of the close of business on November 12, 2012.

“We’re very proud to end a fantastic fiscal year with record September quarter results,� said Tim Cook, Apple’s CEO. “We’re entering this holiday season with the best iPhone, iPad, Mac and iPod products ever, and we remain very confident in our new product pipeline.�

“We’re pleased to have generated over $41 billion in net income and over $50 billion in operating cash flow in fiscal 2012,� said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the first fiscal quarter of 2013, we expect revenue of about $52 billion and diluted earnings per share of about $11.75.�

Apple will provide live streaming of its Q4 2012 financial results conference call beginning at 2:00 p.m. PDT on October 25, 2012 at www.apple.com/quicktime/qtv/earningsq412. This webcast will also be available for replay for approximately two weeks thereafter.

This press release contains forward-looking statements including without limitation those about the Company’s estimated revenue and diluted earnings per share. These statements involve risks and uncertainties, and actual results may differ. Risks and uncertainties include without limitation the effect of competitive and economic factors, and the Company’s reaction to those factors, on consumer and business buying decisions with respect to the Company’s products; continued competitive pressures in the marketplace; the ability of the Company to deliver to the marketplace and stimulate customer demand for new programs, products, and technological innovations on a timely basis; the effect that product introductions and transitions, changes in product pricing or mix, and/or increases in component costs could have on the Company’s gross margin; the inventory risk associated with the Company’s need to order or commit to order product components in advance of customer orders; the continued availability on acceptable terms, or at all, of certain components and services essential to the Company’s business currently obtained by the Company from sole or limited sources; the effect that the Company’s dependency on manufacturing and logistics services provided by third parties may have on the quality, quantity or cost of products manufactured or services rendered; risks associated with the Company’s international operations; the Company’s reliance on third-party intellectual property and digital content; the potential impact of a finding that the Company has infringed on the intellectual property rights of others; the Company’s dependency on the performance of distributors, carriers and other resellers of the Company’s products; the effect that product and service quality problems could have on the Company’s sales and operating profits; the continued service and availability of key executives and employees; war, terrorism, public health issues, natural disasters, and other circumstances that could disrupt supply, delivery, or demand of products; and unfavorable results of other legal proceedings. More information on potential factors that could affect the Company’s financial results is included from time to time in the “Risk Factors� and “Management’s Discussion and Analysis of Financial Condition and Results of Operations� sections of the Company’s public reports filed with the SEC, including the Company’s Form 10-K for the fiscal year ended September 24, 2011, its Forms 10-Q for the fiscal quarters ended December 31, 2011; March 31, 2012; and June 30, 2012; and its Form 10-K for the year ended September 29, 2012 to be filed with the SEC. The Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates.

Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and is defining the future of mobile media and computing devices with iPad.

Press Contact:
Steve Dowling
Apple
dowling@apple.com
(408) 974-1896

Investor Relations Contacts:
Nancy Paxton
Apple
paxton1@apple.com
(408) 974-5420

Joan Hoover
Apple
hoover1@apple.com
(408) 974-4570

NOTE TO EDITORS: For additional information visit Apple’s PR website (www.apple.com/pr), or call Apple’s Media Helpline at (408) 974-2042.

Apple, the Apple logo, Mac, Mac OS and Macintosh are trademarks of Apple. Other company and product names may be trademarks of their respective owners.

Cutting-Edge Curriculum with Final Cut Pro X

Over the past 30 years, Full Sail University has trained tens of thousands of students for careers in film, broadcast, and media. The school has always focused on addressing the real-world needs of the industries it feeds, adjusting its courses and tools to match. And since a new class of students begins at Full Sail every month, the university has frequent opportunities to update its curriculum.

For the 6,000 students currently at the school’s 212-acre suburban Florida campus, as well as the 11,000 online degree students, that means opportunities to learn the most modern techniques in filmmaking, sound mixing, and game development using the most current technology. To that end, Full Sail created Project LaunchBox, which lets incoming students purchase at discount a 15-inch MacBook Pro with all necessary software installed — including Final Cut Pro X for professional courses that involve film and video.

Rick Ramsey, director of the visual arts programs at Full Sail, says switching the LaunchBox programs from Final Cut Pro 7 to Final Cut Pro X was less a standard software upgrade than a significant strategic tack. “We focus our efforts on providing the right tools and skills that will help our students be competitive in the job market after they graduate,� says Ramsey. “And digital media is changing those industries ridiculously fast. We now have to teach students to prepare for a range of digital inputs and outputs — not just how to shoot digital video but how to edit and deliver it properly.�

Ramsey believes the new editing model of Final Cut Pro X answers many of those challenges: “I see a definite industry shift towards the new modern file-based editing model in Final Cut Pro X. To turn out students who are really current in media development, we absolutely have to teach it.�

Photo credit: Micheal McLaughlin

Classroom Friendly

What makes Final Cut Pro X so easy to teach, says Isis Jones, chief information officer and executive director of education at Full Sail, is that it’s so easy to use. “The technology really can’t be what the students are here to learn. It needs to be just part of the fiber that facilitates everything else they’re doing as artists and engineers and storytellers. We want technology to disappear for the students so they can focus strictly on craft. The simplicity, speed, and flexibility of Final Cut Pro X has made that possible for all of our students.�

Says Ramsey, “It’s a much faster editing tool, because we used to have to spend lots of time going through and picking the shots. But now we can just skim through video footage to preview it. It makes editing a lot more streamlined.�

While acknowledging the advantage of speed, program director for digital cinematography Bob Truett notes other features that help student editors: “The software has a lot of flexibility. The Magnetic Timeline frees you to do things that you couldn’t do before, like moving clips around without constantly worrying about sync. But it also lets you decide whether to go auto, manual, or both, depending on your workflow. It’s really about how you want to edit.�

Course Director for Intro to Editing and Visual Effects Will Cobble, who has been teaching Final Cut Pro since it was introduced, says the new software has created a practical classroom advantage. “Final Cut Pro X has made it easier to teach in less time,� he says. “We’ve been able to nearly double the time we spend teaching editing theory because we spend less time actually teaching the software.�

“I see a definite industry shift towards the new modern file-based editing model in Final Cut Pro X. To turn out students who are really current in media development, we absolutely have to teach it.� — Rick Ramsey, director of visual arts programs, Full Sail University

Feature Traction

Cara Landon, who teaches introductory editing, identifies several new Final Cut Pro features favored by her class: “Our online students use a Sony FS100 camera, and Final Cut Pro X works seamlessly with those files. Students can just read them right away, which makes importing super quick.

“Many students use the built-in titles, which they then tweak to make their own. And they love the ease of marking Favorites and Rejects, because it makes it so simple to categorize shots. I’m all about organizing a project from the start, and I tell them that if they don’t know what they have, they can’t edit a good project.�

Creating Media Entrepreneurs

To develop students for industries still being changed by digital technologies, Full Sail encourages them to leverage their proficiency with Final Cut Pro X to broaden their skills and heighten their value.

“I think that we have to look at how our curriculum addresses the independent or the entrepreneurial side of media creation,� says Ramsey. “It’s a big trend. About 40 percent of the students we place are freelancers, who might be asked to do anything on a small production. It could be editing, it could be lighting, and it could be camera. We’re finding that we need to drive a variety of skills because there are a lot of companies out there that want the multiplicity.�

It’s an issue Truett is already addressing with his cinematography students. “A lot of companies have scaled down,� he says. “They’ve gone to a boutique style, where it’s a one-man show. So an editor might be asked to also shoot and do the mixing. Our students are ready because they can shoot camera, pop a card into their MacBook Pro, open it up Final Cut Pro X, and start selecting what clips they want. They have the skills and the tools they need to thrive in that environment.�

Photo credit: Micheal McLaughlin

Quick Study

Full Sail film student Jake Kalafut is doing everything he can to prepare for what he hopes will be an eventual job as a first assistant director. After exploring Final Cut Pro 7, he got trained in Final Cut Pro X in his video editing course. “Final Cut Pro X was so easy to use, right from the start,� he says. “With background rendering, I’m able to really think about my edit, while the process just keeps going. It makes everything so much quicker.�

Kalafut credits new Final Cut Pro X features like the Magnetic Timeline, color correction, and built-in motion graphics with making him more proficient. And he believes his developing editing fluency will pay off on the set. Already it’s helped him create a video compilation of his projects, which he uses to line up freelance editing work. “Our industry’s constantly changing, so I have to adapt and learn," he says. "If I don’t, I’ll get left behind.�

Apple Introduces iPad mini

The full iPad experience. There's less of it, but no less to it.

Everything you love about iPad — the beautiful screen, fast and fluid performance, FaceTime and iSight cameras, thousands of amazing apps, 10-hour battery life* — is everything you’ll love about iPad mini, too. And you can hold it in one hand.

Learn more

Beautiful 7.9‑inch display. A screen worthy of iPad.

Colors are vivid and text is sharp on the iPad mini display. But what really makes it stand out is its size. At 7.9 inches, it’s perfectly sized to deliver an experience every bit as big as iPad.

Learn more

Over 275,000 apps. If it's made for iPad, it's made for iPad mini.

Right from the start, apps made for iPad also work with iPad mini. They’re immersive, full-screen apps that let you do almost anything you can imagine. And they make iPad mini practically impossible to put down.

Ultrafast wireless. Fast connections. The world over.

With advanced Wi‑Fi that’s up to twice as fast as any previous-generation iPad and access to fast cellular data networks around the world, iPad mini lets you download content, stream video, and browse the web at amazing speeds.

Learn more
iPad With Retina display

With the new A6X chip, FaceTime HD camera, blazing-fast dual-band Wi-Fi, and access to even more cellular data networks around the world, iPad with Retina display is twice as fast and capable of so much more than you ever imagined. Learn more

New App Store Badges and Product Images Now Available

Promote Your App with Smart App Banners

TMCnet Embedded M2M Solutions Week in Review

The embedded M2M solutions market is helping to propel the world toward greater convenience and now is a really exciting time for it. This week saw some major announcements from notable players; this week in review will act as your guide.

Nokia's (News - Alert) Locations & Commerce business is now supplying global NAVTEQ Maps to power BMW's next generation navigation system. NAVTEQ (News - Alert) Maps enable worldwide navigation, location-based services and mobile advertising.

“NAVTEQ Maps powered the first navigation system on the European market which was introduced by BMW in the early 1990s - and our relationship has continued throughout the extraordinary development and expansion of the location space,� said Bruno Bourguet, SVP of sales and business development, Nokia Location & Commerce.

Next, ABI Research released a report stating that Chinese global vendors of M2M modules may soon be in popular demand. For example, Huawei (News - Alert) has managed to grab the number five spot in the global M2M market, but the company is expected to rise in rank rapidly.

Chinese conglomerates in general have displayed enormous success lately across the electronics and smartphone markets — a success expected to follow in M2M. However, the report points out, the M2M market is much more complex than other electronics industries, so Chinese vendors will need to be able to step up in terms of customer support.

Cinterion recently introduced the EHS5, an ultra compact, high-speed M2M communication module which provides secure wireless connectivity for industrial applications. The new solution features a complete client Java runtime optimized for microcontrollers and other resource-constrained devices.

Furthermore, the EHS5 enables network migration within a single design. Its powerful Java-based application environment allows the Java community to tap into its existing resources to simplify and hasten M2M solution design and integration.

SkyBitz's (News - Alert) Galaxy Series was selected by COFC Logistics to provide complete asset management solutions to its entire fleet of 850 intermodal containers. The Galaxy Series is a GLS solution which serves the needs of the asset tracking market, leveraging the best in asset-tracking technology.

“One of the biggest challenges the intermodal industry faces is obtaining complete visibility for tracking assets without an external power source because assets move on and off various transportation modes,� said Henry Popplewell, SVP and general manager, SkyBitz. “We’re proud to support COFC Logistics’ growing business by providing them with the right solution for optimizing their assets.�

Lastly, u-blox (News - Alert) launched a new line of low-power GSM/GPRS modules design for cost-sensitive applications. These SARA modules are ideal for a broad range of M2M applications requiring dual- or quad-band GSM/GPRS, voice and/or data and in-band modem support.

"Our new SARA line of GSM modules is designed to give customers exactly the features they need," said Thomas Nigg, VP of Product Marketing at u-blox. "The interchangeable and fully compatible SARA modules cover low to high-end features. This gives our M2M customers the precise cost/performance tradeoffs they need to develop the most cost-effective designs."

That's all for this week. Check out the Embedded M2M Solutions Channel for more!

Back to the Embedded M2M Solutions Community

TMCnet Contact Center Solutions Week in Review

It’s the end of another week, which means it’s time to take a look at the week’s events in the world of contact center solutions. Here’s a quick wrap-up.

Unified IP communications company, Interactive Intelligence (News - Alert) (News - Alert) is working with UK debt collection company CapQuest to connect the latter’s global call centers to create a true unified center for the business, which makes an average of 250,000 outbound call attempts each day. CapQuest is now using Interactive Intelligence’s Customer Interaction Centre (CIC) for a range of purposes, including contact center activities and business relations, as well as communications between staff based across the company’s four contact center locations.

Read the full article here.

1st United Services Credit Union recently announced that it has chosen Fonolo’s (News - Alert)  best-in-class phone-based customer service. Members of 1st USCU will be offered an enhanced call center experience as waiting time is now replaced with a call-back capability from Fonolo. Members can now connect to call centers agents in a single click via Fonolo, which has been incorporated into the 1st USCU website.

Read more by clicking here.

We all know what mobile adoption has done for game playing and checking e-mail. Most of us even know what mobile devices have done for working outside the office and finding ways to have access to documents from half a world away. What we may not realize is just how much mobile devices are going to impact customer service over the next couple of years. A recent study by industry analyst Ovum (News - Alert) shows how different companies will have their customer service approach changed.

Read the article here.

One thing the world has today is lots of social media channels, and customers are increasingly using them to interact with companies. Social media allows companies to hear, engage and participate in customer conversations not only during a call, but even when the customer discusses his or her product/service experience with friends or peers on social networks. The Asia Pacific region has a breadth of call centers. Since many businesses realize that it’s critical that they ensure social media merges with the contact center so it can become part of the unified customer experience, call centers of Asia are getting into social media in a big way.

Find the complete article here.

Today, “word of mouth� is the most powerful form of advertising, as 92 percent of people say they trust word of mouth, while only 33 percent of people trust online advertisements. So how exactly do you spread word of mouth messages about your company?

Read the article here.

Social media has evolved substantially over the last five years and has proved itself to be an effective tool that improves the customer experience as well as lead generation. At an ITEXPO (News - Alert) Austin 2012 session “Supporting the Social CMO� this week, expert panelists discussed how social media is affecting CMOs.

“There is a shift in the way the CMO connects with customers and employees and use that insight to develop better programs,� said Tony Busa of Benbria Corporation.

Read a wrap-up of the session here.

That’s all for this week in contact center solutions. Have a great weekend!

TMCnet Next Generation Communications Week in Review

It was a major week for news in the Next Generation Communications community, and as such, there was plenty to talk about. So settle in as we bring out our Week in Review coverage to run down all the high points of a week of news that brought a host of topics with it.

First, we had a report that linked the growing movement in personal devices that were capable of connecting to various wireless signals, like 3G and Wi-Fi, which was spawning an increased need for improvements in network architecture. Tablets especially, with their use of the cloud for augmented centralized storage capabilities and general connectivity, have spurred the need for improved network bandwidth. Thus, the call is going out for more installation of High Level Network architecture, which would help provide at least some more bandwidth without costly infrastructure upgrades.

Next came a report on interconnected CDNs--Content Delivery Networks--that were looking to not only provide the video that consumers demanded, but do so in a way that wouldn't break the bank in infrastructure costs. CDNs that are already on the network reduce the distance content has to travel to reach the end users, and in so doing, provides reduced network congestion and in turn disruption. The primary need of such networks was interoperability, something that Alcatel-Lucent's Velocix (News - Alert) Digital Media Delivery Platform looks to provide in earnest.

Then we had a report on how mobile service providers could develop better small cell deployment strategies through a larger cost analysis. While small cells are increasingly a larger part of mobile networks, especially as a way to provide more network capacity without having to build large-scale installations, the new issue becomes one of just where the devices are deployed to ensure the best possible reach and return on investment. Thus, wider cost analysis is proving not only necessary, but highly beneficial.

Finally, we had a look at an unexpected public safety tool, specifically, LTE (News - Alert) connectivity. Local and state governments alike are rapidly discovering the benefits of using LTE in public safety, benefits that were more thoroughly expressed in a recent Alcatel-Lucent (News - Alert) white paper titled "Public Safety LTE, A How-To Guide". Benefits of LTE connectivity in public safety included interoperability with other systems that could provide data like visual feeds in real-time video and images of maps and blueprints connected to buildings that required assistance. The lower latency and higher speeds are also appealing, which in turn has raised some issues about not only how to provide LTE to those regular consumers who want it, but also to those emergency responders who want access to the improved communication as well.

With everything from regular consumer usage patterns to the value provided by emergency responders impacted by next generation communications, it's easy to see why our global online community is able to find so much news about the topic, and why it's valuable to keep up with the topic. So be sure to join us back here next week for more coverage, as well as every weekend for our Week in Review wrap-up to summarize the high points!

TMCnet Contact Center on Demand Week in Review

October 06, 2012


It’s the end of another week, which means it’s time to take a look at the week’s events in the world of contact center on demand. Here’s a quick wrap-up.

Colt, a European telecommunications, IT managed services and data center services company, recently announced the launch of a new hosted contact center solution that was designed to enable resellers to build and manage their own contact center services for their customers. Colt’s goal was to offer a solution that can provide increased functional and an easy-to-use platform that can help resellers serve the needs of the medium-sized (50-250 seat) contact center market. The service will be first rolled out in the UK and Ireland first, with the rest of Europe, starting with Germany, Austria and Switzerland, next year.


Read the full article here.

The most significant benefit of cloud services probably is that it enables services like contact center on demand, collaboration on demand and private branch exchange-style call control on demand. The on-demand delivery model is replacing the customer premises equipment (CPE) culture in organizations. Companies leveraging cloud computing services for services like on-demand contact centers benefit from several features such as caller ID, predictive dialer, automatic call dialing (ACD), call routing, virtual assistant, IVR, real-human detection and more.

Read more by clicking here.

For those companies interested in testing on demand contact center options, the available services are at times limiting. Fortunately, Tikal Networks is offering a free trial of its CenterMeter contact center on demand service. To get started using the contact center on demand service, users simply need to set up an SSL key to ensure that the connection with the interface is secure. Tikal will e-mail an SSL key, and then the certificate can be installed.

Read the article here.

This week, city council members in Champaign, Illinois were asked to consider a contract to provide call center support and billing services to the Urbana Champaign Big Broadband program. The call center contract, which is worth about $67,000, is between the city and call center outsourcing company Solix, which is headquartered in Parsippany, New Jersey but has an office in Charleston, Illinois. According to a memo to the Champaign City Council, Solix was recommended by the city staff. Solix is a business process outsourcing firm that specializes in providing flexible and scalable solutions for complex qualification, or eligibility determination, processes.

Find the complete article here.

That’s all for this week in contact center on demand. Have a great weekend!