Apple swallowed 77% of the mobile industry’s profits in Q2

7 Aug

11111111111111apple_nonapple_profitandebit-e1344251708244

A new study from Raymond James analyst Tavis McCourt shows that Apple (AAPL) is absolutely crushing its rivals where it matters most: the bottom line. According to McCourt’s numbers, Apple gobbled up an astonishing 77% of all profits generated by the mobile industry in the second quarter of 2012 while also accounting for 43% of its total revenues, All Things D reports. These numbers are particularly remarkable because Apple had relatively low iPhone sales of 26 million units last quarter while rival Samsung (005930sold more than 50 million smartphones over the same period. 

McCourt says that profitability is particularly vital because having more money means Apple can plug a lot more resources into research and development to keep itself one step ahead of the competition.

“Ultimately, profits are the feedstock of innovation; and, innovation drives profits,” he wrote. “Until Samsung starts generating more profits than Apple, we would not be overly concerned with who has the unit share lead. Remember, HP and Dell still sell a lot more PCs than Apple sells Macs, but does it matter?”

 

http://allthingsd.com/20120806/apple-gorging-on-mobile-industry-revenue/?mod=atdtweet

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: