Some links on this page are affiliate links: if you buy through them we may earn a commission, at no extra cost to you.
Apple reported $9.87 billion in revenue and $1.67 billion in net income for fiscal Q4 2009, beating both its own forecast and Wall Street expectations. The quarter ended September 26, 2009, and included record Mac and iPhone shipments—but Apple’s separate adjusted figures require an important accounting caveat.
Apple’s Q4 2009 results at a glance
Apple announced the results on October 19, 2009. The quarter ended September 26—not September 30, a date repeated in some contemporary coverage. Apple called it its most profitable quarter at the time, with record quarterly Mac and iPhone sales. The company’s official results announcement reported:
| Metric | Q4 FY2009 | Q4 FY2008 | Year-over-year change |
|---|---|---|---|
| Revenue | $9.87 billion | $7.90 billion | About +25% |
| Net income (GAAP) | $1.67 billion | $1.14 billion | About +46% |
| Diluted earnings per share | $1.82 | $1.26 | About +44% |
| Gross margin | 36.6% | 34.7% | +1.9 percentage points |
| Mac shipments | 3.05 million | About 2.61 million | +17% |
| iPhone shipments | 7.4 million | About 6.9 million | +7% |
| iPod shipments | 10.2 million | About 11.1 million | −8% |
International sales made up 46% of revenue. Product-unit figures are Apple-reported shipments, not an independent measure of retail purchases by end customers.
How much did Apple beat expectations by?
Contemporary analyst consensus was approximately $9.2 billion in revenue and $1.42 in diluted EPS. Apple’s $9.87 billion in revenue was about $670 million, or 7%, higher; its $1.82 EPS was $0.40, or about 28%, higher. Consensus figures can vary with the source and the date estimates were collected; the numbers here are the contemporary estimates reported by BetaNews.
#1 Best Overall
- This phone is unlocked and compatible with any carrier of choice on GSM and CDMA networks (e.g. AT&T, T-Mobile, Sprint, Verizon, US Cellular, Cricket, Metro, Tracfone, Mint Mobile, etc.).
- Please check with your carrier to verify compatibility.
- The device does not come with headphones or a SIM card. It does include a generic (Mfi certified) charging cable.
- Tested for battery health and guaranteed to have a minimum battery capacity of 80%.
Apple also topped its own forecast, which called for $8.7 billion to $8.9 billion in revenue and EPS of $1.18 to $1.23. Compared with the high end of that guidance, actual revenue was about $970 million higher and EPS was $0.59 higher. That makes the quarter a beat against both company guidance and analyst expectations—not just a headline comparison to one benchmark.
Macs delivered the clearest unit-growth story
Apple reported 3.05 million Mac shipments, a quarterly record at the time and 17% above the year-earlier quarter. Portables accounted for 74% of Mac units—nearly 2.3 million systems. Contemporary reporting put the broader PC market’s growth at about 2%, making Apple’s Mac growth notably faster by that comparison.
Rank #2
- 6.9" LTPO Super Retina XDR OLED, 120Hz, HDR10, Dolby Vision, 1320x2868px at 460ppi, 1000 nits (typ), 2000 nits (HBM), 4685mAh Battery
- 1TB, 8GB RAM, Apple A18 Pro (3nm), Hexa-core (2x4.05 GHz + 4x2.42 GHz), Apple GPU 6-core, iOS 18, upgradable to iOS 18.3
- Rear camera: 48MP, f/1.8 (wide) + 12MP, f/2.8 (periscope telephoto) 5x optical zoom + 48MP, f/2.2 (ultrawide), TOF 3D LiDAR scanner (depth), Front Camera: 12MP, f/1.9 (wide)
- 2G: 850/900/1800/1900, 3G: HSDPA 850/900/1700(AWS)/1900/2100, 4G LTE: 1/2/3/4/5/7/8/12/13/14/17/18/19/20/25/26/28/29/30/32/34/38/39/40/41/42/48/53/66/71, 1/2/3/5/7/8/12/14/20/25/26/28/29/30/38/40/41/48/53/66/70/71/75/76/77/78/79/258/260/261 SA/NSA/Sub6/mmWave - Dual eSIM
- Unlocked for freedom to choose your carrier. Compatible with both GSM & CDMA networks. The phone is unlocked to work with all GSM Carriers & CDMA Carriers Including AT&T, T-Mobile, Verizon, Sprint., Etc.
The June 2009 notebook refresh and price reductions formed part of the explanation. Apple COO Tim Cook described it as “the quarter of the portable” and agreed that the laptop price cuts had worked, as reported by Macworld. That is management’s account of the result, not a separate estimate isolating how much growth the price changes caused. Mac sales in Asia Pacific rose 42% year over year, according to the same contemporary coverage.
The iPhone grew, with supply still a constraint
Apple reported 7.4 million iPhone shipments, up 7% from a year earlier. The quarter included the first full quarter of the iPhone 3GS and a lower-priced iPhone 3G. Recognized iPhone handset revenue was $2.3 billion, compared with $806 million in the year-ago quarter—a rise of 185%.
Rank #3
- 6.1inch Super Retina XDR display. Aluminum with color-infused glass back. Ring/Silent switch
- Dynamic Island. A magical way to interact with iPhone. A16 Bionic chip with 5-core GPU
- Advanced dual-camera system. 48MP Main | Ultra Wide. Super-high-resolution photos (24MP and 48MP). Next-generation portraits with Focus and Depth Control. 4X optical zoom range
- Emergency SOS via satellite. Crash Detection. Roadside Assistance via satellite
- Up to 26 hours video playback. USB C, Supports USB 2. Face ID
That revenue increase should not be read as a 185% jump in iPhone units or average selling price. Unit shipments increased 7%, and the accounting treatment for iPhone revenue affected when sales appeared in GAAP results. Tim Cook also said demand exceeded supply for much of the quarter; Apple had more than 2 million units in inventory at quarter-end, according to contemporary coverage.
Apple was looking to broaden distribution, including a planned October launch with China Unicom and additional carrier availability in the United Kingdom and Canada. Those were prospective opportunities in October 2009, not guarantees of future sales. The App Store, then at approximately 85,000 applications, was part of Apple’s ecosystem story.
Rank #4
- This pre-owned product is not Apple certified, but has been professionally inspected, tested and cleaned by Amazon-qualified suppliers.
- There will be no visible cosmetic imperfections when held at an arm’s length.
- This product is eligible for a replacement or refund within 90 days of receipt if you are not satisfied.
- Product may come in generic Box.
The iPod was the quarter’s weak spot
Apple reported 10.2 million iPod shipments, down 8% year over year and the second consecutive quarterly year-over-year decline in units. Set beside record Mac and iPhone shipments, the contrast showed a business increasingly relying on computers and smartphones for momentum. The iPod decline was evidence of a product category losing ground, but by itself did not mean Apple’s overall business was in immediate decline.
Why were adjusted sales and income higher?
Apple also presented non-GAAP adjusted results: $12.25 billion in adjusted sales and $2.85 billion in adjusted net income. Those figures were higher than the GAAP revenue of $9.87 billion and net income of $1.67 billion because Apple applied subscription accounting to iPhone and Apple TV sales.
Best Value
- 6.7inch Super Retina XDR display. ProMotion technology. Always-On display. Titanium with textured matte glass back. Action button
- Dynamic Island. A magical way to interact with iPhone. A17 Pro chip with 6-core GPU
- Pro camera system. 48MP Main | Ultra Wide| Telephoto. Super-high-resolution photos (24MP and 48MP). Next-generation portraits with Focus and Depth Control. Up to 10x optical zoom range
- Emergency SOS via satellite. Crash Detection. Roadside Assistance via satellite
- Up to 29 hours video playback. USB-C, Supports USB 3 for up to 20x faster transfers. Face ID
Under the then-applicable accounting treatment, Apple deferred most of the revenue and related product costs for those devices, then recognized them over an estimated 24-month economic life. Some costs—including engineering, sales, marketing, warranty and future-feature development—were generally expensed as incurred. In its adjusted presentation, Apple reversed the deferrals for product units sold in the quarter, giving a different view of the economics associated with current-period sales.
For example, an iPhone sold during Q4 could contribute to adjusted sales for that period while much of its GAAP revenue was recognized over the following months. The difference did not mean Apple received two different amounts of cash; it reflected the timing of accounting recognition. Nor was the $2.85 billion adjusted figure a second official measure of GAAP profit or simply “cash profit.” Apple cautioned that the non-GAAP figures were not GAAP-compliant, should not be used alone and did not include every cost associated with the sales. The company’s announcement explains its reconciliation and accounting presentation.
Margins, international business and the full year
Gross margin rose to 36.6% from 34.7% a year earlier, while international sales accounted for 46% of quarterly revenue. For fiscal 2009 as a whole, Apple said revenue grew 12% and net income grew 18%. Those results offer a snapshot of growth during the recession, but they do not establish that economic conditions had no effect on Apple or that any one product caused the full-year performance.
Free tools Windows power users keep installed
One-click scans. No signup required.
Apple’s outlook for Q1 FY2010
On October 19, 2009, Apple forecast revenue of $11.3 billion to $11.6 billion and diluted EPS of $1.70 to $1.78 for its next quarter. Contemporary coverage reported an expected gross margin of about 34%. These were forecasts issued at that time, not present-day projections.
The historical takeaway is a strong but mixed scorecard: Macs and iPhones were expanding, gross margin improved and the iPod was contracting. Interpreting the headline profit also means keeping GAAP results separate from Apple’s much larger adjusted figures.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
