iPhone sales to continue declining until ‘iPhone 5′ launch, Canaccord says

By on April 19, 2012 at 10:00 AM.

iPhone sales to continue declining until ‘iPhone 5′ launch, Canaccord says

Sales of Apple’s popular iPhone line of smartphones will continue to decline until the next-generation model launches later this year according to one analyst. Mike Walkley of Canaccord Genuity on Thursday raised his price target on shares of Apple stock to $740, reiterating a Buy rating. Walkley believes that Apple will post strong results for the second fiscal quarter ended in March, however he lowered his EPS estimates for fiscal 2012 to $43.13 from $44.58. Read on for more. More →

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Verizon reports Q1: Earnings up 16%, 734,000 net subscriber additions

By on April 19, 2012 at 7:54 AM.

Verizon reports Q1: Earnings up 16%, 734,000 net subscriber additions

Verizon on Wednesday reported earnings for the first quarter that narrowly beat analysts’ expectations. The nation’s top carrier posted a profit of $0.59 per share, up about 16% over the same quarter last year and $0.01 above Wall Street’s consensus. Revenue grew 4.6% year over year to $28.2 billion, and net subscriber additions totaled 734,000. Verizon said that 47% of its postpaid subscriber base owned smartphones at the end of the first quarter, up from 43.5% in the same quarter last year. Monthly average revenue per user grew 3.4% to $53.66. “Verizon delivered double-digit earnings growth and strong cash flow this quarter,” Verizon CEO Lowell McAdam said. “We built momentum coming out of 2011, and our results show that we continue to execute in the key growth areas of our business. Verizon Wireless produced both great growth and great margins, and we produced another strong quarter of FiOS growth. We are confident we will improve Wireline margins for the full year. Our repositioning of Verizon Enterprise Solutions has better aligned our strengths in high-growth markets, and we expect our enterprise business to contribute even more to overall Wireline revenue growth and profitability over time.” Verizon’s full press release follows below. More →

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Nokia posts huge $1.7 billion Q1 loss; sales boss resigns as smartphone sales plummet 50%

By on April 19, 2012 at 7:41 AM.

Nokia posts huge $1.7 billion Q1 loss; sales boss resigns as smartphone sales plummet 50%

Nokia warned that its first-quarter earnings would be weak, and the numbers are now in. Revenue declined 30% to €7.4 billion, or $9.7 billion USD last quarter, down from €10.4 billion, or $13.6 billion in the same quarter last year. The company posted a massive €1.3 billion loss, or $1.7 billion USD, which breaks down to a loss of €0.25 per share. Smartphone sales plummeted 52% to 1.7 billion units in the first quarter, and net device sales dropped 40% to 4.2 billion units. Read on for more. More →

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Apple’s next iPhone launch could be most important in smartphone history

By on April 18, 2012 at 1:10 PM.

Apple’s next iPhone launch could be most important in smartphone history

Apple’s iPhone 4S marked the biggest device launch in the company’s history. A number of industry watchers and news sites were expecting a completely redesigned handset, but despite the new model’s striking resemblance to the iPhone 4, it sold more than 4 million units in its debut weekend alone. According to Goldman Sachs analyst Bill Shope, Apple’s next smartphone launch will be even bigger. Read on for more.

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HTC rebound hits early rough patch

By on April 17, 2012 at 11:35 AM.

HTC rebound hits early rough patch

HTC’s stock was hit hard on Tuesday following news of Samsung’s imminent Galaxy S III announcement, which couldn’t have come at a worse time for the struggling Taiwan-based vendor. HTC’s record growth in early 2011 was stunted later in the year as strong competition from the likes of Apple and Samsung shifted attention from the vendor’s aging smartphone lineup. The company is now in the process of launching its new line of One-series smartphones including the One X and One S, however Samsung’s announcement will come just weeks after HTC’s international One-series roll-out began, posing a serious threat to the company’s first-half comeback. Read on for more. More →

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Google posts Q1 results, beats Wall Street’s consensus; announces 2-for-1 stock split

By on April 12, 2012 at 4:09 PM.

Google posts Q1 results, beats Wall Street’s consensus; announces 2-for-1 stock split

Google on Thursday reported its results for the first quarter, topping Wall Street’s estimates. The Internet giant managed earnings of $10.08 per share on $10.65 billion in revenue, beating analysts EPS estimates of $9.64 and $8.1 billion in sales. Net revenue came in at $8.14 billion after $2.51 billion in traffic acquisition costs, in line with estimates. In the same quarter a year earlier, Google posted an adjusted profit of $8.08 per share $6.5 billion in sales. The company also plans to create a new class of non-voting capital stock that effectively creates a 2-for-1 stock split. The new class C shares will be traded under a separate ticker. “Google had another great quarter with revenues up 24% year on year,” Google CEO Larry Page said in a statement. “We also saw tremendous momentum from the big bets we’ve made in products like Android, Chrome and YouTube. We are still at the very early stages of what technology can do to improve people’s lives and we have enormous opportunities ahead. It is a very exciting time to be at Google.” A letter from Google co-founders Larry Page and Sergey Brin explaining the decision to split the company’s stock follows below along with the Google’s earnings release. More →

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Sony confirms plans to shed 10,000 jobs amid shake-up

By on April 12, 2012 at 7:30 AM.

Sony confirms plans to shed 10,000 jobs amid shake-up

Sony on Thursday confirmed earlier rumors suggesting plans to release 10,000 workers during the course of fiscal 2012. The figure includes employees expected to leave Sony as part of various business sales, however. The move, which is part of a larger effort to restructure and cut costs, will result in a 6% workforce reduction. The Japan-based consumer electronics giant has been in decline for years, and the company said earlier this week that it will report a worst-ever $6.4 billion loss when it posts its full-year earnings for the fiscal year ended March 31st. Sony plans to right the ship by strengthening its position in the digital imaging, gaming and mobile markets, turning around its TV business, addressing emerging markets more aggressively, “creating new businesses and accelerating innovation,” and selling off a number of divisions as it streamlines operations. As a result of its efforts, the company hopes to achieve a 5% operating margin on $105 billion in revenue and a 10% return on equity in fiscal 2014. Sony’s full press release follows below. More →

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Nokia trims Q1 outlook, confirms more than 2 million Lumia phones sold

By on April 11, 2012 at 8:40 AM.

Nokia trims Q1 outlook, confirms more than 2 million Lumia phones sold

Nokia on Wednesday lowered its outlook for the first quarter of 2012, noting that performance from its devices and services division will have a greater negative impact on its quarter than previously expected. “Our disappointing Devices & Services first quarter 2012 financial results and outlook for the second quarter 2012 illustrates that our Devices & Services business continues to be in the midst of transition,” Nokia CEO Stephen Elop said. “Within our Smart Devices business unit, we have established early momentum with Lumia, and we are increasing our investments in Lumia to achieve market success. Our operator and distributor partners are providing solid support for Windows Phone as a third ecosystem, as evidenced most recently by the launch of the Lumia 900 by AT&T in the United States.” While the Finnish vendor continued to struggle in the first quarter, it did confirm that Lumia phone sales through the end of March topped 2 million units. Nokia’s press release follows below. More →

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‘Extremely poor’ Symbian sales, mixed Lumia sales to leave Nokia with another rough quarter

By on April 10, 2012 at 11:45 AM.

‘Extremely poor’ Symbian sales, mixed Lumia sales to leave Nokia with another rough quarter

Nokia is in store for yet another rough quarter according to Canaccord Genuity analyst Mike Walkley. The struggling Finnish phone vendor posted a massive €954 million operating loss last quarter, and Walkley thinks the company’s first quarter of 2012 could disappoint again. “We are lowering our estimates ahead of Nokia’s Q1/12 earnings report as our checks indicate weak Symbian sales, seasonally soft feature phone sales, and a slow ramp in Windows smartphones,” the analyst wrote, reiterating a Hold rating on shares of Nokia stock and lowering his price target to $5. Read on for more. More →

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Sony sees massive $6.4 billion annual net loss, its worst ever

By on April 10, 2012 at 7:30 AM.

Sony sees massive $6.4 billion annual net loss, its worst ever

Sony has revised its full-year earnings projections for the fiscal year ended March 31st to include a tax hit that will see the company report a record $6.4 billion loss. The net loss will be twice what the consumer electronics giant projected, and it marks Sony’s fourth consecutive annual loss. “There have been several reasons for our poor results,” Sony CFO Masaru Kato told reporters at a briefing Tuesday morning. “We are aiming for a rebound and for this we have made management changes.” Kato cites poor demand and a strong yen among the causes for Sony’s poor results. Reports surfaced earlier this week stating that Sony plans to cut as many as 10,000 jobs in the coming years, or roughly 6% of its workforce, in an effort to cut costs. The company plans to reveal a new strategy on Thursday that CEO Kaz Hirai hopes will turn its struggling business around. More →

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Samsung to report record Q1 as profits double

By on April 6, 2012 at 2:55 PM.

Samsung to report record Q1 as profits double

Samsung Electronics on Friday reported unaudited earnings results for the first calendar quarter of 2012. Following a record holiday quarter that saw the company pull in a profit of 5.3 trillion Korean won on sales of 47 trillion won, Samsung expects to report an operating profit of 5.8 trillion won — nearly twice its profit the first quarter last year — and revenue of approximately 45 trillion won. Samsung’s Galaxy S II smartphones are still among carriers’ best-selling smartphones in the United States, and the South Korea-based consumer electronics giant recently announced that sales of its massive Galaxy Note “phablet” topped 5 million units.

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HTC sees sharp decline in Q1 revenue, profit

By on April 6, 2012 at 7:50 AM.

HTC sees sharp decline in Q1 revenue, profit

HTC on Friday reported unaudited earnings for the first quarter, revealing an extremely rocky start to the new year. The company warned that its first quarter results would see decline as the Taiwan-based vendor prepared to launch its new flagship smartphones, and preliminary numbers are in line with HTC’s earlier forecast. Revenue of NT$67.8 billion in the first quarter is down 35% from the same period last year, and HTC posted an after-tax profit of just NT$4.7 billion, down 70% year-on-year. HTC hopes business will pick up significantly as its new flagship smartphones, the One X and One S, begin to launch in various regions abroad. In the United States, the One X will launch on AT&T this month and before the end of June on Sprint as the HTC EVO 4G LTE. The HTC One S will be released in April on T-Mobile.

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Topeka: ‘Apple fever has more room to run’

By on April 2, 2012 at 12:30 PM.

Topeka: ‘Apple fever has more room to run’

The world’s most valuable company is showing no signs of slowing down, and numerous industry watchers believe Apple will continue to grow despite increased competition from rivals like Samsung. Topeka Capital Markets, new home to analyst Brian White, on Monday initiated coverage of Apple with a Buy rating and a sky-high $1,001 price target. “Driven by an ever expanding portfolio of innovative products, a growing integrated digital grid, unmatched aesthetics and a brand that is able to touch the soul of consumers of all backgrounds, Apple fever is spreading like a wildfire around the world and we see no end in sight to this trend,” White wrote in a note to investors on Monday. Read on for more. More →

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