Apple CEO Tim Cook: “I am proud to be gay…”

Apple CEO Tim Cook on Thursday made a surprising announcement in an opinion piece on Bloomberg Businessweek, which is very much in line with his many public notes in the recent past about diversity at the workplace. “While I have never denied my sexuality, I haven’t publicly acknowledged it either, until now. So let me be clear: I’m proud to be gay, and I consider being gay among the greatest gifts God has given me,” Cook said  in the essay.

The executive admitted that he never hid his sexual orientation while working at Apple, even though he had not publicly declared it until now.

“For years, I’ve been open with many people about my sexual orientation. Plenty of colleagues at Apple know I’m gay, and it doesn’t seem to make a difference in the way they treat me. Of course, I’ve had the good fortune to work at a company that loves creativity and innovation and knows it can only flourish when you embrace people’s differences. Not everyone is so lucky,” Cook said.

At the same time, the CEO of one of the most valuable companies in the world says that being gay was “tough and uncomfortable at times,” but it helped him understand “what it means to be in the minority and provided a window into the challenges that people in other minority groups deal with every day.”

“It’s also given me the skin of a rhinoceros, which comes in handy when you’re the CEO of Apple,” Cook said.

“I don’t consider myself an activist, but I realize how much I’ve benefited from the sacrifice of others,” Cook wrote in the essay. “So if hearing that the CEO of Apple is gay can help someone struggling to come to terms with who he or she is, or bring comfort to anyone who feels alone, or inspire people to insist on their equality, then it’s worth the trade-off with my own privacy.”

Source

Apple announces record-smashing 10 million iPhone 6/Plus opening weekend sales!

When Apple sold 9 million iPhones in the opening weekend of iPhone 5S and 5C last year, it was assumed that would be the zenith; the cheaper 5C offered more opportunity, and launching in China for the first time offered untold opportunity. And then this year Apple sold 10 million iPhone 6 and 6 Plus units, with no China (yet) and a lot more cash at stake.

The report comes after Apple’s initial announcement that it had moved 4 million iPhone 6 and 6 Plus handsets the very first day. As it turns out, it almost kept that pace up through out the weekend. And that was with supply constraints. According to CEO Tim Cook:

“Sales for iPhone 6 and iPhone 6 Plus exceeded our expectations for the launch weekend, and we couldn’t be happier,” said Tim Cook, Apple’s CEO. “We would like to thank all of our customers for making this our best launch ever, shattering all previous sell-through records by a large margin. While our team managed the manufacturing ramp better than ever before, we could have sold many more iPhones with greater supply and we are working hard to fill orders as quickly as possible.”

What Apple didn’t reveal is the breakdown of unit sales between the 6 and 6 Plus, although it’s not clear how helpful it would have been if they had; the 6 Plus hit shipping delays far faster in a way that hinted more at severe supply constraints than overwhelming demand.

Still, 10 million is hugely impressive given that the phones are pricier and lack the scale of launch countries that the iPhone 5 and 5S did. We’ll see how the numbers fully shake out once Apple catches up to the demand. In the meantime, a record is a record, and it seems as though the company hasn’t lost any of its shine.

Apple Q2 2014 earnings: 43.7M iPhones, 16.3M iPads, $45.6B revenue!

As expected, Apple is out with its financial report for Q2 2014 this afternoon. In a press release issued just a few moments ago, Apple announced that it sold 43.7 million iPhones, 16.3 million iPads, and pulled in $45.6 billion in revenue during its fiscal Q2.

Other than iPad sales, Apple beat the Street estimates by a wide margin. The Cupertino company also announced an accelerated strategy for its stock buyback plans, adding an additional $30 billion to the pot (for a total of $90 billion), as well as a 7-1 stock split…

Here is the full breakdown of Apple’s Q2 earnings:

• iPhones: 43.7 million versus 37.7 million expected
• iPads: 16.35 million versus 19.7 million units expected
• Macs: 4.1 million versus 4.03 million expected
• iPods: 2.76 million versus 2.99 million expected
• Revenue: $45.6 billion versus $43.6 billion expected

And here are some comments from CEO Tim Cook and CFO Peter Oppenheimer:

“We’re very proud of our quarterly results, especially our strong iPhone sales and record revenue from services,” said Tim Cook, Apple’s CEO. “We’re eagerly looking forward to introducing more new products and services that only Apple could bring to market.”

“We generated $13.5 billion in cash flow from operations and returned almost $21 billion in cash to shareholders through dividends and share repurchases during the March quarter,” said Peter Oppenheimer, Apple’s CFO. “That brings cumulative payments under our capital return program to $66 billion.” 

 

The last time Apple split its stock was back in 2005. Shareholders will receive six additional shares for each share they hold and the share price will drop to around $80. The company also increased the dividend by 8% per share, and says it plans to do so yearly.

Tim Cook: Apple working on ‘some really great stuff’ in new product categories!

“There will be new categories,” Tim Cook told The Wall Street Journal in an interview regarding Apple’s recent buyback of more than $14 billion in stock. “We’re not ready to talk about it, but we’re working on some really great stuff.”

Now, Cook has alluded to Apple getting into new product categories before. But speaking with the Journal, the CEO seems more intent than ever on convincing worried investors that his company has some major things in the pipeline…

The Journal’s Daisuke Wakabayashi reports:

“Thursday, Mr. Cook reiterated that Apple plans to enter a new category this year. Apple watchers are speculating about wearable devices or a new television platform.

“There will be new categories. We’re not ready to talk about it, but we’re working on some really great stuff,” Mr. Cook said. When asked whether a new product category could mean an improvement on an existing product like an iPad Air, a lighter version of its tablet computer, or new services such as mobile payments, Mr. Cook declined to comment.

He said that anyone “reasonable” would consider what Apple is working on as new categories.”

Cook also wanted to make it clear that Apple remains a “growth company”—something investors have repeatedly questioned over the last year as the iPad maker’s revenue growth has dropped to less than 10%, and its net income to 11%.

“He said his statement that Apple doesn’t aim to make the most phones has been misunderstood.

“I don’t view that as being satisfied with being small or however you want to define it,” he said. “I just want to say that the macro thing for us is making a great product and we must do that. If we can’t do that, we’re not going to force ourselves to hit a price point that makes us produce a product that we’re not proud of because we lose who we are in that. We’re not going to do that.” 

And finally, the CEO talked about acquisitions, another hot topic with investors who feel Apple’s $160 billion cash pile is burning a hole in the company’s pocket. Historically, Apple hasn’t made big acquisitions, but it’s not out of the question.

“The Apple CEO said its history of opting for smaller deals doesn’t mean that the company won’t pull the trigger on a big acquisition if it makes sense.

“We’ve looked at big companies,” said Mr. Cook. “We have no problem spending 10 figures for the right company, for the right fit that’s in the best interest of Apple in the long-term. None. Zero.” 

I recommend checking out the entire interview, as Cook seems more candid than his usual self. It almost comes off as a bit of a defensive PR move, which would make sense after Apple’s stock dropped more than 8% following its Q1 earnings.

Apple seems to be fighting the perception that its best days are behind it, but there’s only so much words can do without action. I for one am looking forward to seeing if it can live up to its own hype this year: larger iPhone, iWatch, new Apple TV.

Apple Q1 2014 earnings: 51M iPhones, 26M iPads, $57.6B revenue!

As expected, Apple is out with its financial report for Q1 2014 this afternoon. It’s an important one, as it follows a number of product releases in the late fall of last year, and then of course the holiday season, where the company typically posts huge numbers.

And it continues that tradition today. In a press release issued just a few moments ago, Apple announced that it sold 51 million iPhones, 26 million iPads, and pulled in $57.6 billion in revenue during its fiscal Q1—all record-breaking for the Cupertino firm…

Here is the full breakdown:

• Revenue: $57.6 billion
• iPhone units: 51 million
  
• iPad units: 26 million
  
• Mac units: 4.8 million

And here are some comments from CEO Tim Cook and CFO Peter Oppenheimer:

“We are really happy with our record iPhone and iPad sales, the strong performance of our Mac products and the continued growth of iTunes, Software and Services,” said Tim Cook, Apple’s CEO. “We love having the most satisfied, loyal and engaged customers, and are continuing to invest heavily in our future to make their experiences with our products and services even better.”

“We generated $22.7 billion in cash flow from operations and returned an additional $7.7 billion in cash to shareholders through dividends and share repurchases during the December quarter, bringing cumulative payments under our capital return program to over $43 billion,” said Peter Oppenheimer, Apple’s CFO.”