IPhone sales strong in fiscal fourth quarter

DIGITAL: Apple profit surged 46%, revenue 24%

By Jennifer Netherby -- Video Business, 10/19/2009

OCT. 19 | DIGITAL: Strong iPhone sales helped Apple turn in a stronger-than-expected fiscal fourth-quarter, sending the company’s stock up 5% in after-hours trading Monday, crossing the $200 mark.

For the quarter ended Sept. 26, Apple reported a 46% surge in net profit of $1.67 billion. Revenue was up 24% to $9.87 billion.

For the full year, net income was up 18% to $5.7 billion. Revenue grew 12% to $36.5 billion.

IPhone sales rose 38%, with 7.4 million purchased during the quarter, despite some initial supply issues.

Meanwhile, sales of the iPod slipped to 10.2 billion during the quarter, down from 11 billion the same period a year ago. Apple said 50% of consumers buying iPods are first-time iPod owners.

Apple said sales on iTunes remain strong, though didn’t disclose numbers. The store now offers more than 50,000 TV episodes and 7,500 films, execs said.

Apple said 2 billion apps have been downloaded through the App Store.

Execs also said that Apple has lower-cost products coming out, though didn’t say what those products are or when they’ll debut. Last month, Apple introduced a new line of low-cost iPods and before that had brought down iPhone prices.