APPLE Computers, which employs 1,200 people in Cork, has dramatically narrowed its losses to $32 million (£20 million) in its third quarter, less than most Wall Street estimates, and said its turnaround was on schedule.
The loss, equivalent to 26 cents a share, was well below Wall Street's consensus forecast of a loss of $1.07 (66p) a share, even excluding a one time gain of $39 million, or about 31.5 cents, on sale of its investment in America Online.
Apple executives attributed the better than expected results to lower operating expenses, improved gross margins and stable revenues. "We believe the company achieved stabilisation of revenues during the quarter", said chief financial officer Mr Fred Anderson. "We achieved a positive shift in product mix toward higher end, higher margin desktop (computer) products and servers."
Apple said that, as part of its restructuring, it had reduced the number of jobs during the quarter to 13,729 from 15,544 and redesigned its organisational structure. The company said about 1,000 of the job cuts were related to the sale of its plant in Fountain, Colorado, which was completed during the quarter. The Cork plant was not affected by the job cuts.
