Apple's 'Disappointing' Quarter in Context
When Apple released its results for the December quarter on January 23, the initial reaction of analysts, industry pundits and investors was overwhelmingly negative. The fact that the company had narrowly missed some of the goals set by Wall Street analysts, was widely considered final proof that Apple's best days are behind it and, to quote one of the more extreme conclusions, that Apple is doomed. As a consequence, Apple's stock plummeted, shaving tens of billions off the company's market cap.
What most of the stories on Apple's demise overlooked, or chose to ignore, was the fact that the company had just delivered record revenue and one of the highest quarterly profits ever to be reported by any company - ever. CEO Tim Cook later pointed out to Apple's employees, that he felt his company was unjustly assessed by Wall Street and that "the only companies that report better quarters pump oil".
Historically, Tim Cook was right on that point: the only companies that ever reported a quarterly profit higher than Apple's $13.1 billion are ExxonMobil and the Russian energy giant Gazprom, who reported net profit of $16.2 billion in the first quarter of 2011.
Looking at the short term though, even oil companies fail to deliver better quarters than Apple. In the December quarter, Apple earned $3 billion more than ExxonMobil, and at least $5 billion more than any other company in the United States. That includes oil companies such as Chevron, pharmaceutical companies such as Pfizer and financial institutions such as JPMorgan Chase.
So even though Apple is starting to show signs of an inevitable slowdown, the company remains incredibly profitable and, to borrow from the great Mark Twain, the reports of Apple's death are greatly exaggerated.
- Largest insurance companies worldwide in 2011, by stock market valueLargest insurance companies worldwide in 2011, by stock market value
- Stock market value of large oil companiesStock market value of large oil companies
- Forecast revenue growth rate global semiconductor industry 1988-2018Forecast revenue growth rate global semiconductor industry 1988-2018
- Iron ore prices monthly 2016-2017Iron ore prices monthly 2016-2017
- Number of stores of the IKEA Group worldwide 2016, by regionNumber of stores of the IKEA Group worldwide 2016, by region
- Monthly Dow Jones Industrial Average index performance 2014-2017Monthly Dow Jones Industrial Average index performance 2014-2017
- Annual revenue of IKEA worldwide 2001-2016Annual revenue of IKEA worldwide 2001-2016
- Revenue and financial key figures of Coca-Cola 2009-2016Revenue and financial key figures of Coca-Cola 2009-2016
- Who may use the "Chart of the Day"?
- The Statista "Chart of the Day", made available under the Creative Commons License CC BY-ND 3.0, may be used and displayed without charge by all commercial and non-commercial websites. Use is, however, only permitted with proper attribution to Statista. When publishing one of these graphics, please include a backlink to the respective infographic URL.
- Which topics are covered by the "Chart of the Day"?
- The Statista "Chart of the Day" currently focuses on two sectors: "Media and Technology", updated daily and featuring the latest statistics from the media, internet, telecommunications and consumer electronics industries; and "Economy and Society", which current data from the United States and around the world relating to economic and political issues as well as sports and entertainment.
- Can Statista create customized charts?
Absolutely! For information on tailor-made and sector-specific
Charts of the Day, please contact Robin Hüdepohl