Apple the Music Company
Via MacRumours, I got this data from Apple’s quarterly financial conference call:
– Macs shipped: 1,254,000 (20% growth over 2005 Q1)
— 587,000 iBooks and Powerbooks shipped
— 667,000 desktop systems shipped
– iPods shipped: 14,043,000 (207% growth over 2005 Q1)
– Revenue: $5.75 billion, 40% from international sales ($3.49 billion in 2005 Q1)
– Music: 59% of total revenue
– Net quarterly profit: $565 million ($295 million in 2005 Q1)
– Retail profits were $90 million.
– Gross margin: 27.2% (28.5% in 2005 Q1)
Note that music is 59% of Apple’s revenue, and tripled year over year, whereas their Mac computer sales grew a mere 20%. Apple would have loved the latter figure 3 years ago – now it’s just ‘meh’.
So Apple’s music revenues are about one and a half times their computer revenues.
Apple is no longer a niche computer company with an interesting sideline music play.
They’re a dominant music industry titan with an interesting sideline in computers.
January 21st, 2006 at 10:43 am
When Apple Computer started, Apple Records basically told them it would be ok if they used the name Apple, as long as they didn’t venture into the music business. It will be interesting to see where this goes from here. Here’s an article on the matter. The date for their next trial is set for March 27, 2006.