Trial lawyers have a formula for tough cases: When the facts are on your side, pound the facts. When the law is on your side, pound the law. When neither is on your side, pound the table.
Many companies are pounding the table. Take Apple. On July 22, it reported a solid 12.3 percent rise in profits for its June quarter on a respectable 6 percent increase in revenue. But what number did it chose for its headline? Its 20 percent hike in earnings per share.
In fact, since it began its $28 billion stock buyback program this fiscal year, it has been trumpeting its earnings per share. For the three months ended March 31, its 15 percent EPS growth was also used in the release.
Before 2014 and the buyback program, when Apple had whopping product sales gains and profit gains that were the envy of the tech world, its publicity pounded those facts.
In the June quarter of 2011, Apple used the following title to its release:
“All-Time Record Revenue and Earnings; iPhone Sales Grow 142 Percent; iPad Sales Grow 183 Percent.”
One year later, in 2012, the title was: “17 Million iPads Sold; Board Declares Quarterly Dividend of $2.65 per Common Share.”
Last year, the title was, “Sales of 31 Million iPhones Set New June Quarter Record.”
In the last two quarters, it seems, Apple has been pounding the table.