Apple's stock plunges 13% on profit news; new product mix is noted as the company posts unexpectedly low net
Article Abstract:
Apple Computer Inc's stock plunged 13 percent in Apr 1991 after the computer maker reported that earnings fell in the 2nd qtr in 1991. Apple Computer's sales increased for the quarter by 19 percent when compared to the same period in 1990, but the company's new low-profit-margin strategy, which is aimed at obtaining greater market share, resulted in a loss in earnings. The gross profit margin for the company sank to 48.8 percent of sales, compared with 54.7 percent for the same period in 1990. Apple indicates that it is pleased with its 2nd qtr 1991 results; the company is increasing its market share and reaching new users with its low-priced microcomputers. Apple reports that operating expenses have fallen to a two-year low. International sales have reached a high, accounting for 52 percent of revenue for the period.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1991
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Apple unveils moves designed to cut costs; steps include some job cuts and slowdown in hiring, memo to staff discloses
Article Abstract:
Apple Computer Inc plans cost reductions, including elimination of an as-yet undetermined number of jobs. Apple currently employs 12,000. John Sculley, Apple's CEO, cites the company's slowing growth as the reason for the cutbacks. Apple is expected to announce results for the 1st qtr, ended Dec 30, 1989, on Thursday, Jan 18, 1990. Apple has already indicated that results will be disappointing. Analysts say that the company will post per-share earnings of about 90 cents on revenue of $1.5 billion. In the year-ago period Apple earned $140.5 million, or $1.10 a share, on revenue of $1.41 billion.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1990
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Apple's stock continues weeklong slide as firm discloses poor profit outlook
Article Abstract:
The announcement that Apple's 1st qtr 1990 earnings will decline compared to the same quarter in 1989 has started a decline in the computer company's stock value. Apple blames sagging sales growth, especially in the low-end market, as the reason for the 1st qtr's poor showing. The Macintosh SE and Apple II microcomputers, sold mainly to individuals, are selling slowly. Apple also has a problem getting display screens for the new Macintosh portable. The 20 percent reductions in stock value that followed Apple's announcement represents a $1.1 billion reduction in Apple's market value.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1989
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