[MD1] Apple Reports Second Fiscal Quarter Results
TweetFollow Us on Twitter

[MD1] Apple Reports Second Fiscal Quarter Results

Apple Reports Second Fiscal Quarter Results

Company Recaps Extensive New Product Offerings and Restructuring Progress

CUPERTINO, Calif.--April 16, 1997--Apple Computer, Inc. today announced
financial results for the Company's fiscal 1997 second quarter ended March
28, 1997. Revenues for the quarter were $1.6 billion, compared to $2.1
billion in the quarter ended Dec. 27, 1996 and $2.2 billion in the quarter
ended March 29, 1996. International sales accounted for 49 percent of total
revenues in the current quarter.

As previously indicated, the Company incurred two large charges of a
non-operating nature during the quarter. Pursuant to generally accepted
accounting principles, the Company recorded a charge of $375 million for
the write-off of in-process research and development activity related to
its Feb. 4, 1997 acquisition of NeXT Software, Inc.

Additionally, the Company recorded a charge of $155 million to increase
reserves to cover the costs of restructuring activities previously
announced by the Company on March 14, 1997.

The Company's total loss for the quarter was $708 million, or $(5.64) per
share, compared to a net loss of $120 million, or $(.96) per share in the
December 1996 quarter and a net loss of $740 million, or $(5.99) per share,
in the year-ago quarter. Exclusive of the charges for restructuring and the
write-off of in-process research and development, the Company's current
quarter loss from operations was $186 million, or $(1.48) per share.

Gross margins for the quarter were 19 percent, compared to 19 percent in
the December quarter, and compared to -19 percent (or 9 percent before
inventory adjustments) in the year-ago quarter.

Aside from the charges for restructuring and the write-off of in-process
research and development, operating expenses for the quarter were $489
million, down $32 million from the December quarter and down $65 million
from the year ago quarter.

"While the operating results are disappointing, we made significant
progress toward executing our strategic plans during the quarter," said
Apple chairman and chief executive officer Dr. Gilbert F. Amelio. "We've
streamlined our organization and narrowed our focus, we're divesting
non-core assets, and we're executing a plan to reduce annual operating
expenses by $500 million. We've also made great progress toward
strengthening Apple's competitive position by introducing several exciting
new products to the market, and we've completed the NeXT acquisition,
paving the way for delivery of our modern OS, code-named 'Rhapsody.'"

"We experienced continued success in asset management during the quarter,"
said Apple executive vice president and chief financial officer Fred
Anderson. "Our cash balance at the end of Q2 was in excess of $1.4 billion,
our inventories were just over $500 million, and despite the quarter's
loss, we generated positive cash flow from operations."

"We expect to see rapid improvements in the Company's financial performance
as the results of restructuring kick in," added Anderson. "We anticipate
higher revenues and a significantly reduced operating loss in the Company's
third fiscal quarter and continued progress toward our goal of returning to
profitability in the fourth quarter."

New Products

Apple introduced an array of new products in recent weeks. On April 4, the
Company announced the Power Macintosh 6500 series of computers for home and
small business customers, including the first 300 MHz system to hit the
personal computer market. In addition, the Company introduced two
PC-compatible computers--the Power Macintosh 7300/180, which includes a 166
MHz Intel Pentium processor; and the Power Macintosh 4400/200, which
includes a 133 MHz Cyrix PR166 6x86 processor.

Earlier in the quarter, Apple announced the Macintosh PowerBook 3400
series, featuring the first 240 MHz notebook computer on the market, as
well as a new line of Power Macintosh computers for business, professional
publishing, and Internet/media authoring.

For education customers, Apple introduced its most comprehensive lineup of
new products in 20 years, including the eMate 300, three powerful
all-in-one desktop models, two models in a powerful new tower design, and
three new solution bundles for secondary schools.

Claris Corporation, Apple's wholly-owned software subsidiary, achieved
record-breaking revenues of $70 million during the quarter. Revenue growth
was driven in large part by an unprecedented level of operating system
upgrades to Mac OS 7.6, introduced in January.

"In the last three months, we executed one of the most exciting and
comprehensive series of product introductions in the history of Apple,"
said Apple executive vice president of marketing Guerrino De Luca. "These
products demonstrate the ongoing innovation at Apple and our commitment to
providing distinctive, powerful, easy-to-use products to meet the needs of
our customers."

Except for the historical information contained herein, the statements
regarding establishing competitive leadership, effecting innovation,
continuing focus on certain industry growth areas, reduction of the
Company's operating expenses and losses, and the timing of execution of the
Company's business plans are forward-looking statements that involve risks
and uncertainties. Potential risks and uncertainties include, without
limitation, continued competitive pressures in the marketplace; the effect
competitive factors and the Company's reaction to them may have on consumer
and business buying decisions with respect to the Company's products; the
consequences competitive factors and buying decisions may have on current
inventory valuations; the Company's ability to successfully integrate the
personnel, products and operations of NeXT Software; the ability of the
Company to make timely delivery of successful technological innovations to
the marketplace; the ability of the Company to successfully resolve its
quality issues; the effect of any future losses on the Company's needs for
liquidity; the effect of the announced business restructuring on the future
performance of the Company, especially the performance of the Company's
employees; and the need for any future restructuring, and the effect that
it might have on the performance of the Company. More information on
potential factors that could affect the Company's financial results is
included in the Company's Form 10-K for the 1996 fiscal year and will also
be included in the Company's Form 10-Q for the second fiscal quarter, to be
filed with the SEC.

Apple Computer, Inc., a recognized innovator in the information industry
and leader in multimedia technologies, creates powerful solutions based on
easy-to-use personal computers, servers, peripherals, software, handheld
computers and Internet content. Headquartered in Cupertino, California,
Apple develops, manufactures, licenses and markets solutions, products,
technologies and services for business, education, consumer, entertainment,
scientific and engineering and government customers in more than 140
countries.

Katie Cotton
Apple Computer, Inc.
(408) 974-7269
email: katiec@apple.com

Investor Relations Contact:
Nancy Paxton
Apple Computer, Inc.
(408) 974-5420
email: paxton1@apple.com

Apple's home page on the World Wide Web:
http://www.apple.com/

Apple, the Apple logo, Macintosh, Power Macintosh, and PowerBook are
registered trademarks and eMate is a trademark of Apple Computer, Inc.
Additional company and product names may be trademarks or registered
trademarks of the individual companies and are respectfully acknowledged.

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Skype 7.5.0.738 - Voice-over-internet ph...
Skype allows you to talk to friends, family and co-workers across the Internet without the inconvenience of long distance telephone charges. Using peer-to-peer data transmission technology, Skype... Read more
PushPal 3.0 - Mirror Android notificatio...
PushPal is a client for Pushbullet, which automatically shows you all of your phone's notifications right on your computer. This means you can see who's calling or read text messages even if your... Read more
Logic Pro X 10.1.1 - Music creation and...
Apple Logic Pro X is the most advanced version of Logic ever. Sophisticated new tools for professional songwriting, editing, and mixing are built around a modern interface that's designed to get... Read more
VLC Media Player 2.2.0 - Popular multime...
VLC Media Player is a highly portable multimedia player for various audio and video formats (MPEG-1, MPEG-2, MPEG-4, DivX, MP3, OGG, ...) as well as DVDs, VCDs, and various streaming protocols. It... Read more
Sound Studio 4.7.8 - Robust audio record...
Sound Studio lets you easily record and professionally edit audio on your Mac. Easily rip vinyls and digitize cassette tapes, or record lectures and voice memos. Prepare for live shows with live... Read more
LibreOffice 4.4.1.2 - Free, open-source...
LibreOffice is an office suite (word processor, spreadsheet, presentations, drawing tool) compatible with other major office suites. The Document Foundation is coordinating development and... Read more
VueScan 9.5.03 - Scanner software with a...
VueScan is a scanning program that works with most high-quality flatbed and film scanners to produce scans that have excellent color fidelity and color balance. VueScan is easy to use, and has... Read more
Freeway Pro 7.0.3 - Drag-and-drop Web de...
Freeway Pro lets you build websites with speed and precision... without writing a line of code! With its user-oriented drag-and-drop interface, Freeway Pro helps you piece together the website of... Read more
Cloud 3.3.0 - File sharing from your men...
Cloud is simple file sharing for the Mac. Drag a file from your Mac to the CloudApp icon in the menubar and we take care of the rest. A link to the file will automatically be copied to your clipboard... Read more
Cyberduck 4.6.5 - FTP and SFTP browser....
Cyberduck is a robust FTP/FTP-TLS/SFTP browser for the Mac whose lack of visual clutter and cleverly intuitive features make it easy to use. Support for external editors and system technologies such... Read more

The first ever action 3D card battler Al...
On the other hand, you probably haven’t played an action 3D card battler – until now. Step forward, All Star Legion. All Star Legion is a 3D QTE-based action RPG card battler, but fear not – the game itself isn’t as convoluted as its description.... | Read more »
Travel Back to the 1980s With the Making...
Headup Games has released a hilarious making of video for its upcoming title, Pixel Heroes: Byte & Magic. The game is a RPG/Roguelike where you control three heroes set to save the township of Pixton from an evil cult called The Sons of Dawn.... | Read more »
Heavenstrike Rivals Review
Heavenstrike Rivals Review By Campbell Bird on March 2nd, 2015 Our Rating: :: HEAVENLY STRATEGICUniversal App - Designed for iPhone and iPad Despite a few flaws, this free-to-play strategy game is a fun mix of new and old strategy... | Read more »
Get The Whole Story – Lone Wolf Complete...
Get The Whole Story – Lone Wolf Complete is Now Available and On Sale Posted by Jessica Fisher on February 27th, 2015 [ permalink ] Universal App - Designed for iPhone and iPad | Read more »
Who Wore it Best? The Counting Dead vs....
Like it or not, the “clicker” genre, popularized by cute distractions like Candy Box and Cookie Clicker, seems like it’s here to stay. So Who Wore it Best? takes a look at two recent examples: The Counting Dead and AdVenture Capitalist. | Read more »
Card Crawl, the Mini Deck Building Game,...
Card Crawl, the Mini Deck Building Game, is Coming Soon Posted by Jessica Fisher on February 27th, 2015 [ permalink ] Tinytouchtales and Mexer have announced their new game, | Read more »
Witness an all new puzzle mechanic in Bl...
Well, BlastBall MAX is not one of those games and is bucking trends such as timers, elements of randomness, and tacked-on mechanics in favor of pure puzzle gameplay. When you first boot up the game you’ll see a grid made up of squares that are each... | Read more »
This Princess Has a Dragon and She isn’t...
This Princess Has a Dragon and She isn’t Afraid to Useit. | Read more »
Mecha Showdown Review
Mecha Showdown Review By Lee Hamlet on February 27th, 2015 Our Rating: :: IN A SPINUniversal App - Designed for iPhone and iPad Mecha Showdown replaces traditional buttons with a slot machine mechanic in this robot fighting game,... | Read more »
Reliance Games and Dreamworks Unveil Rea...
Reliance Games and Dreamworks Unveil Real Steel Champions Posted by Ellis Spice on February 27th, 2015 [ permalink ] Reliance Games and Dreamworks have announced that a third game in | Read more »

Price Scanner via MacPrices.net

27-inch 3.5GHz 5K iMac in stock today and on...
 B&H Photo has the 27″ 3.5GHz 5K iMac in stock today and on sale for $2299 including free shipping plus NY sales tax only. Their price is $200 off MSRP, and it’s the lowest price available for... Read more
Apple Launches Free Web-Based Pages and Other...
Apple’s new Web-only access to iWork productivity apps is a free level of iCloud service available to anyone, including people who don’t own or use Apple devices. The service includes access to Apple... Read more
Survey Reveals Solid State Disk (SSD) Technol...
In a recent SSD technology use survey, Kroll Ontrack, a firm specializing in data recovery, found that while nearly 90 percent of respondents leverage the performance and reliability benefits of SSD... Read more
Save up to $600 with Apple refurbished Mac Pr...
The Apple Store is offering Apple Certified Refurbished Mac Pros for up to $600 off the cost of new models. An Apple one-year warranty is included with each Mac Pro, and shipping is free. The... Read more
Updated Mac Price Trackers
We’ve updated our Mac Price Trackers with the latest information on prices, bundles, and availability on systems from Apple’s authorized internet/catalog resellers: - 15″ MacBook Pros - 13″ MacBook... Read more
Apple CEO Tim Cook to Deliver 2015 George Was...
Apple CEO Tim Cook will deliver the George Washington University’s Commencement address to GWU grads on May 17, at which time he will also be awarded an honorary doctorate of public service from the... Read more
Apple restocks refurbished Mac minis for up t...
The Apple Store has restocked Apple Certified Refurbished 2014 Mac minis, with models available starting at $419. Apple’s one-year warranty is included with each mini, and shipping is free: - 1.4GHz... Read more
Save up to $50 on iPad Air 2s, NY tax only, f...
 B&H Photo has iPad Air 2s on sale for $50 off MSRP including free shipping plus NY sales tax only: - 16GB iPad Air 2 WiFi: $469.99 $30 off - 64GB iPad Air 2 WiFi: $549 $50 off - 128GB iPad Air 2... Read more
16GB iPad Air 2 on sale for $447, save $52
Walmart has the 16GB iPad Air 2 WiFi on sale for $446.99 on their online store for a limited time. Choose free shipping or free local store pickup (if available). Sale price for online orders only,... Read more
iMacs on sale for up to $205 off MSRP
B&H Photo has 21″ and 27″ iMacs on sale for up to $205 off MSRP including free shipping plus NY sales tax only: - 21″ 1.4GHz iMac: $1029 $70 off - 21″ 2.7GHz iMac: $1199 $100 off - 21″ 2.9GHz... Read more

Jobs Board

Sr. Technical Services Consultant, *Apple*...
**Job Summary** Apple Professional Services (APS) has an opening for a senior technical position that contributes to Apple 's efforts for strategic and transactional Read more
Event Director, *Apple* Retail Marketing -...
…This senior level position is responsible for leading and imagining the Apple Retail Team's global engagement strategy and team. Delivering an overarching brand Read more
*Apple* Pay - Site Reliability Engineer - Ap...
**Job Summary** Imagine what you could do here. At Apple , great ideas have a way of becoming great products, services, and customer experiences very quickly. Bring Read more
*Apple* Solutions Consultant - Retail Sales...
**Job Summary** The ASC is an Apple employee who serves as an Apple brand ambassador and influencer in a Reseller's store. The ASC's role is to grow Apple Read more
*Apple* Solutions Consultant - Retail Sales...
**Job Summary** As an Apple Solutions Consultant (ASC) you are the link between our customers and our products. Your role is to drive the Apple business in a retail Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.