Categories
Apple finance

Apple Earnings Q1 – 2021

Apple released their first quarter earnings today and it was great news for the Cupertino lifestyle company1.

The company posted all time record revenue of $111.4 billion, up 21% year-over-year, and quarterly earnings per diluted share of $1.68, up 35%.

Net sales by category in the three months ending December 26, 2020 compared with the three months ending on December 28, 2019:

  • iPhone $ 65 597 000 up $9 640 000 (17% growth year over year with an all-time high of 1 billion devices activated)
  • Mac $8 675 000 up $1 515 000 (Up 21% compared to last year)
  • iPad $8 435 000 up $2 458 000 (Surveys measure iPad users with 94% satisfaction)
  • Wearables, Home and Accessories $12 971 000 up $2 961 000 (75% of customers this quarter are new)
  • Services $15 761 000 up $3 046 000 (New services are all helping this category)
  • Total Net sales $111 439 000 — Up $19 620 000

This is fantastic news for shareholders. Apple continues to show strong growth in all of it’s categories. The details of their earnings can be found in their First Quarter Results.

Update: As always Jason Snell has the graphs.

1. Poor Intel

Categories
crime finance

Infographic Stolen — Intel Releases Earnings Report Early

On Thursday, hackers made out with a copy of one of Intel’s financial report infographics which left the company little choice but to release their earnings report early.

From the Financial Times:

Intel said it was the victim of a hacker who stole financially sensitive information from its corporate website on Thursday, prompting the company to release its earnings statement ahead of schedule. 

The US computer chipmaker believed an attacker had obtained advanced details about a strong earnings report it was due to publish after the stock market closed, said George Davis, chief financial officer.

It published its formal earnings announcement upon discovering the problem, six minutes before the market closed. Intel’s shares rose more than 6 per cent on Thursday, including almost 2 per cent in the final 15 minutes of trading.

“An infographic was hacked off of our PR newsroom site,” Mr Davis said. “We put [our earnings] out as soon as we were aware.”

A copied infographic changing the course of a $232 million company — that’s something. You might be asking yourself, was the graphic in question any good? I’ll let you decide. It’s this one they use on their main results page. It’s unclear how much time passed from when it was discovered that the infographic was out there and when they posted their earnings report. Apparently, the earning report was released 12 minutes before markets closed at which time Intel was going to report anyway. When milliseconds matter it becomes very difficult to say with much certainty how much time passed after the information first became available.

From Matt Levine:

[Y]ou can only be so precise about when a piece of news becomes public. If you are a public company and you load your press release onto your website and then push a button for it to go live, and you look over at your atomic clock at the precise moment that you push the button, you will be able to record a time. A fraction of a second later, the button on your mouse or keyboard will send a signal to your computer, and then another fraction of a second later your computer will send some signals out into the world. And then those signals will, through the intermediation of further computers and wires and perhaps even human actions, arrive at various important places. Your earnings release will show up on your company’s website, and on the Bloomberg terminal, and on the Securities and Exchange Commission’s Edgar website, and on the Nasdaq website, and elsewhere, each at slightly different times due to differences in, like, the lengths of the wires and the complexity of the computer programs that transmit your release from your computer to those sites. And then there will be some teensy fraction of a second of delay as light travels three feet from those screens to the eyeballs of people looking at them, and then there will be a longer delay as those people think about what they are seeing and, maybe, decide to push some buttons of their own to buy or sell some Intel stock. Other people will have a more direct feed that bypasses screens and eyes: Some service will transmit the press release in machine-readable form directly to their algorithms, and the algorithms will scan them for numbers and perhaps compare those numbers to expectations, and make a quick decision to buy or sell Intel stock.

(via Money Stuff)

Categories
finance

Money Stuff

I’ve never been a big subscriber to email newsletters — though apparently it’s all the rage these days. I finally decided to give it a try with Matt Levine’s Money Stuff and I’m seriously impressed. He’s been on leave since August and just started up again a couple of days ago. Anyway check out this excerpt from his newsletter from the heading $900 Million:

In August, just as I was going on leave, a group of hedge funds were in a bitter fight with Revlon Inc., which had made changes to its debt in a way that disadvantaged those funds. (It stripped collateral that was backing the loan they owned and used it to secure new debt that would be effectively senior to their loan; Mary Childs has a fun explanation here.) Those funds thought Revlon was violating its covenants and defaulting on its debt, making the debt due and payable immediately; Revlon thought it was doing something tricky but allowed. The fight pitted experienced credit funds like Brigade Capital Management and HPS Investment Partners against famed corporate raider Ronald Perelman, Revlon’s controlling shareholder. Undoubtedly the hedge funds came into work on Aug. 11 expecting another day of hard fighting against opponents who would not give an inch.

But then instead the money just showed up in their bank accounts? Citigroup Inc. was the administrative agent for a $900 million Revlon loan that was the subject of the default dispute. It was supposed to wire an interest payment of about $8 million to the lenders on Aug. 11, but by accident it sent the whole $900 million instead. Oops!

Read the rest over at Bloomberg. You can get his content on the web but if you’re looking to give email newsletters a chance you can subscribe to Matt Levine’s Money Stuff.

I also get emails from the recently revived Today in Tabs (subscribe to newsletter) and the New York Times (subscribe to newsletter). I would probably go all in and buy a subscription to The Times but I’m worried that if I change my mind they are notoriously hard to cancel.