Chillin' out till it needs to be funded
Even as iPad pressured its Direct Gross Margin to 45% and EPS forward for Q4 2010 remained around $4.80 probably because of more margin pressure from iPads, Apple did report more than $20bn revenues and upped sales guidance for the future based on sales of around 4.19 million iPads(less than 5 expected by the market), 14 million iPhones and a large 3.89 million iMacs, 27% higher than a year ago.
So now we know what is stopping the Apple juggernaut in its tracks. While 25 international stores will be opened in 2011 and Verizon will be adding to data vendors for Apple’s great invention, EPS refused to rise to stratospheric levels as iPads seemed to have hit margins badly. Watch this space for more. Apple’s cash in hand is now a $56 billion as $20bn quarters become a new baseline for the giant. Meanwhile Coke and CCE are also expected to post results this week, esp with CCE picking up after Coke’s $12 billion purchase earlier this year.