One reason that investors are taking Apple's December quarter results so hard is that the quarter hinted at new, ongoing issues with gross margins, as the company shifts from serving the digital elite to selling to the global masses - at a time when competition in tablets and mobile phones is intensifying.
Wedge Partners analyst Brian Blair picked up on this theme in his comments on the quarter this morning. He notes that December quarter gross margin was 38.5%; that was 250 basis points above the company's guidance at 36%
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Apple Posts $13.1 Billion Profit
January 23, 2013
Apple Wednesday posted a $13.1 billion profit for the first quarter of 2013, flat from the same time last year. The numbers came on $54.5 billion in revenue, and were ahead of analyst estimates.