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They did not beat estimates and their margins took a huge hit.

• Cookingboy 14y ago
  They missed the revenue by less than 1% (despite stock already falling 30% in the past 3 months) and they beat on EPS. Margin was in line with expectation as well.
  • zmmmmm 14y ago
    I think the the combo of increasing revenue but flat on profit is worrying: that tells you something is eating away at the profitability of the company. It jives with the perception that the company has "peaked" and its best days are behind it, that competition is successfully biting into margins.
    • millstone 14y ago
      This exactly describes Google's most recent quarter - profits up 6%, revenues up 19%. Yet investors welcomed those results.
      • zmmmmm 14y ago
        It probably does, but Google's current stock price isn't predicated on the same assumptions as Apples. It's seeing those assumptions threatened that is worrying, not the raw numbers.
• brown9-2 14y ago
  It would seem to depend on whose estimates you are looking at. I'm seeing half the articles report "beat estimates" (in terms of earnings and in terms of iPhone sales) and the other half saying "below estimates". Considering that there are a number of analysts and they produce a range of estimates, it doesn't seem accurate to reduce things to "beat" or "missed" estimates - it's possible to beat most of the estimates but miss a few of them, or vice versa.