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Apple (Nasdaq: AAPL) today posted fiscal fourth quarter profits that were more than double that of the same period last year, and gave the credit to skyrocketing iPod sales.
The computer giant posted a US$106 million net profit, or 26 cents a share, making it one of Apple's most profitable quarters in nearly a decade. The numbers compared to $44 million, or 12 cents, in the year-ago period.
Sales rose to $2.35 billion, up 37 percent from the fourth quarter last year. That's $250 million more than analyst predictions.
"We're pleased to report 37 percent revenue growth for the quarter and operating margin above 5 percent," Apple CFO Peter Oppenheimer said. "Looking ahead to the first quarter of fiscal 2005, we expect revenue of between $2.8 and $2.9 billion, operating margin above 7 percent and earnings per diluted share of 39 cents to 42 cents."
Apple shipped 836,000 Macintosh units and 2,016,000 iPods during the quarter, representing a 6 percent increase in CPU units and a 500 percent increase in iPods over the year-ago quarter.
More Than Computers
"We need to start to look at Apple as more than just a computer company," Stephen Baker, director of industry analysis at the NPD Group, told MacNewsWorld. "The iPod is definitely propelling them in that direction."
Baker said Apple's retail stores have also been a boon for business, allowing the company to display its products in the best possible light, driving sales 
and increasing margins.
With such a strong fourth quarter and a new iMac in the mix, Baker said the holiday season looks promising for Apple.
"If Apple can sell 2 million iPods for back to school, then the sky is the limit for Christmas," he said. "At that point the question starts to become, is there enough availability to meet the demand?"
Stock Up
The quarter's results include an after-tax restructuring charge of $4 million. Excluding this charge, the company's net profit for the quarter would have been $110 million, or 27 cents per diluted share.
"We are thrilled to report our highest fourth quarter revenue in nine years," said Steve Jobs, Apple's CEO. "We shipped over 2 million iPods, our retail store revenue grew 95 percent year-over-year, and the new iMac G5 has received phenomenal reviews and is off to a great start."
For the year, the company reported net income of $276 million on revenue of $8.28 billion compared to net income of $69 million on revenue of $6.21 billion in 2003.
Apple stock climbed to $1.46 to $39.75 at the Nasdaq's closing bell.
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