Retail Stores Continue Financial Success

Apple’s retail stores continued to improve financially during the fourth fiscal quarter of 2006, including record sales of computers, especially to new-to-Mac customers. The Retail segment posted $936 million in revenue, up 41 percent from the same quarter of 2005, and profit of $50 million, up 43 percent. For the first time, new-to-Mac sales within the stores crossed the 50 percent threshold (not necessarily all “Switchers” from Windows PCs). CFO Peter Oppenheimer explained to analysts in a conference call that the average store added 1,000 new Mac customers during the quarter. Store visitors increased to “a bit above” 20 million, Oppenheimer said, up 17.6 percent from the previous quarter, but not close to the record 26 million who visited during the 2005 holiday quarter. Overall, the company posted revenue of $4.84 billion, up 32 percent from the same quarter of 2005, and profit of $546 million, up 27 percent. For more information on the financials, check out the charts and graphs.