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Apple Inc Q4 2009 Earnings Call Transcript
Author: 123jump.com Staff
123jump.com
Last Update: 5:26 PM ET October 20 2009

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Apple Inc fourth quarter sales rose 25% to $9.87 billion and net income rose 46.5% to $1.67 billion or $1.82 a share.


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Now, is that air freight non -- I would imagine that you had that typically in most Q4s and accordingly, is that larger than usual for this quarter because your demand perception may have changed over the last 30 or 60 days or is that just a normal sequential seasonal headwind to margins that you always experience?

Tim Cook

It''s more than normal. And so you''re correct that in general, we spend more in freight in Q1. However, this increase is larger than usual. And I''m sorry, I can''t be specific on the product, but it''s an abnormal sequential increase.

Toni Sacconaghi - Sanford Bernstein

Okay. Thank you.

Nancy Paxton

Thanks, Toni. Could we have the next question, please?

Operator

From UBS, we''ll hear from Maynard Um.

Maynard Um - UBS

Thanks. Can you just talk about how many non-Apple retail store distribution points you have and whether there''s more growth there. I''m just trying to think about the mix of your retail stores versus your indirect going forward and then as a follow-up question on CapEx.

Tim Cook

Maynard, is that specific to the Mac or…?

Maynard Um - UBS

For the Mac, yes.

Tim Cook

For the Mac, we have a little less than 13,000 worldwide and our focus in terms of expansion in the indirect channel is much more so in the international areas, in international market. As you probably could tell from our results, we grew the Mac much stronger outside the U.S. than inside the U.S., and I''m sure part of that is just the economics difference between the two, but the international business, typically in Europe and in Asia was extremely strong last quarter.

Maynard Um - UBS

Okay. And just be in particular to Europe, just was that broad based or western or eastern, any more specific than Europe?

Tim Cook
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