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From: Zoso_17	7/31/2012 8:14:43 AM
	1 Recommendation of 3249

Re: APPL margins Court documents that included unsealed Apple documents shed some light on Apple's individual product profit margins that are typically not provided by any company. The documents revealed that Apple's margins are more than twice as high on the iPhone than on the iPad, but the iPad's margins are still well above the profit any other PC hardware maker can make. Reuters reports that Apple had iPad gross margins of 23 to 32 percent between October 2010 and the end of March 2012. iPhone margins between April 2010 and the end of March 2012 were between 49 and 58 percent. While the iPhone numbers are not surprising, especially since there have been analyst estimates that Apple can pocket about half of its iPhone revenues as profit, the iPad margins are rather impressive. Apple previously said that it was aggressive in its iPad pricing, which may be true in a comparison with the iPhone, but it is a very comfortable cushion when compared to the general PC and tablet landscape, in which other hardware makers have trouble getting into the double digits of profit margins. The documents were unsealed as part of the proceedings between a suit that Apple filed against Samsung. Apple seeks about $2.53 billion in damages from Samsung.

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