Apple's Small Loss is $8 million in Q1 '03

after $19 million in one-time charges. Without the one-time charges, Apple would have made a profit of $11 million. The good news is that gross revenue increased 7% over the same quarter last year and 2% over the previous quarter (Q4 '02).

The quarterly sales of Mac units was roughly flat at 743,000 vs 746,000 a year ago but up from 734,000 last quarter. Here is the distribution of unit sales:

Mac Unit Sales (thousands)

Mac	Q1 '02	Q4 '02	Q1 '03
.
iMac	233	318	298
iBook	185	182	186
Power Mac	212	176	158
PowerBook	116	58	101
.
Total	746	734	743

The new iMac sales stayed about 300,000 while iBook sales have been flat. This is disappointing for consumer Macs because Q1 '03 includes the holiday season in Oct-Dec of 2002. Power Mac sales continue to decline despite speed bumps. PowerBook sales rebounded from a very poor previous quarter, perhaps on the strength of the 1 GHz speed bump and SuperDrive released last quarter.

The sales of peripherals, other hardware, software and plain other, reported only in dollars, climbed from $304 million to $349 million to $373 million over the same quarters.

The revenue from the Apple Stores also continues to increase, rising from $48 million to $102 million to 148 million for the same quarters.

"We have a very strong new product pipeline for 2003, which we kicked off by introducing the two most advanced notebook computers in the industry last week at Macworld," said Steve Jobs, Apple's CEO. "We're going to keep investing through this downturn and continue to move our products and distribution channels ever further ahead of our competitors, so that when the economy rebounds we will be positioned for growth."

"We were extremely pleased with our ability to achieve our revenue target for the first quarter while reducing channel inventories by 11 percent within the quarter," said Fred Anderson, Apple's CFO. "Continued strong asset management enabled us to increase cash to over $4.4 billion. Looking ahead to the second quarter of 2003, we expect revenue to be relatively flat with the December quarter, and expect a slight profit for the quarter."

Here is Apple's press release, financial statements and data summary.