Apple, Inc. (NASDAQ: AAPL) has an incredible run this year, leaping to new highs fueled by enormous hype and excitement about the new iPhone. However yesterday saw a large retreat in the stock's price as analysts and investors did not get the activation numbers on the iPhone they'd hoped for.

Yet Apple does make things other than iPhones. There are iPods, MacBooks, the new OS coming out soon, and with a long run of quarters where Apple has beat it's expectations for profit, this earnings call with determine how Apple's stock price will play out for the next few weeks as investors digest its results.

Keep refreshing to be the first to see how Apple did this last quarter:

4:50pm: we're on hold listening to slow, easy 'on hold' music. No reason to worry about yesterday's iPhone music, the on hold music soothes into complacency.

5:00: still on hold

5:03: waiting for additional participants, please standby

5:05: still waiting...

5:07: welcome to the call. Opening remarks: Nancy Paxton

There will be forward looking statements in this call. Actual results could differ from their forecast. Turning the call over to Peter Oppenheimer.

Thanks. Strong financial results, another landmark quarter. 24% growth over prior quarter. Record breaking Mac sales and strong iPod demand. Operating margin stronger at 19.2%.

1.7 million macs were shipped, an all time record. 32% year over year growth.

Revenue: $5.41 billion and net quarterly profit of $818 million.

5:11pm: 9.8 million iPods sold.

iTunes became 3rd largest music sales store.

During the quarter 270,000 iPhones sold, 146,000 activated.

There were some activation issues.

Apple apologizes for the activation issues.

5:12pm: 90% of iPhone owners surveyed were very satisfied.

Based on surveys and positive feedback, customers agree that iPhone is revolutionary. It took Apple almost 2 years to sell 1 millionth iPod. Hope to sell a million by end of the first full quarter.

Will be expanding countries in Europe and announce plans later this quarter.

Reiterate 10 million iPhones sold by end of '08!

5: 14pm: 24 months subscription service iPhone

June $5 million in iPhone revenue, will start recognizing AT&T revenue in September.

5:15pm: revisited how store's income is being recognized due to iPhone's deferred revenue.

Are going to begin measuring stores retail performance. Starting June cost of sales will be like revenue and cost of sales is done in other Apple departments. .Mac and Applecare is also being treated differently.

5:17pm: Retail sales: sales were 915 million, 33% year over year growth.

185 stores total. 5.1 million average sales per store, vs 4.7 the previous quarter.

Macs sold via stores, 53% year over year growth.

29.1 million visitors to the store last quarter.

5:18pm: US education sales grew. MacBook sales strong in these markets.

5:19: outlook for September quarter:

revenue of $5.7 billion and earnings per share of 65 cents.

In closing, very pleased with June quarter. Record breaking, and good momentum heading into education season, and feel strong about the iPhone.

Analysts questions:

5:20pm: We should we believe that its 65 cents? Are component costs going up? Peter says he feels back to school promotion for the quarter, some component costs.

Can we get some more flavor on the iPhone? What is demand like right now? Tim Cook: we sold 270,000 in 30 hours, and this is more in 30 hours than AT&T has sold of any device in an opening month. 90% of iPhone users are very satisfied. Apple's view is that they got off to a great start. Primary focus: not initial sales, but building a third great business next to iPod and Mac business. It won't be easy to build the third business because the competition is large and entrenched, but the rewards will be huge, and Apple clearly has the skills to pull this off. Next step is Europe sales, then overall 2008 expansion. It took Apple 7 quarters, to get 1 million iPods. Apple expects 1 millionth iPhone to sell in the first full quarter. 10 million in 2008.

5:24pm: Shannon Cross asks: clarify why there is no AT&T payment in this quarter. Peter won't discuss the terms, but reiterates the AT&T revenue will be recognized over time, and will be noted in the September quarter. Why the lower gross margin, can we compare prior years to figure this out? Peter says not really, but the back to school promotion will hit the whole September quarter, and the commodity prices going up, will drive this decrease in gross margin.

5:29pm: Gene Munster from Piper Jaffrey asks about any big picture thoughts on AT&T/Apple's revenue sharing. Apple won't comment on that. In the near term, Munster asks, what about that initial wave of buyers versus later adopters? Peter says they expect a millionth by the end of the next quarter and 10 million next year.

5:32pm: Goldman Sachs asks if there are any fees from other vendors who have placement on the front of the iPhone? Apple can't answer that.

5:34pm: Richard Gartner at Citigroup asks about the Best Buy rollout and whether that helped Mac sales. 50-75 stores, and over 200 at the end of this quarter, and 300 stores by end of calendar year. Both parties are very happy with the arrangement. Component prices questions, DRAM bottomed out more favorably than Apple expected, giving them high than expected gross margins, but as the industry heads into this seasonably higher demand period the NAN Flash market will tighten and DRAM will tighten from it's looseness, and flat panel supply and demand are inbalanced.

5:35pm: eek, internet dropped the live audio for a second, reacquiring...

5:39pm: can we reasonably assume iPhone will have a lower price point? Apple says it's three products in one, it's revolutionary... question not answered.

5:40: Analyst asks about seasonality of Mac sales: Apple says it's mixed. For iPod what drives it is innovate product launches and the December quarter. Will the new operating system slow things down as people wait to upgrade? Apple says the Macs are selling higher than ever before. iPod cannibilization for iPhones? So far haven't seen any in June.

5:41pm: Bear Stearns, Andrew Neff: wants to know about corporate email for the iPhone? Apple thinks the iPhone is breakthrough for all customers. Already have a number of corporate customers happy with the results so far.

5:44pm: New analyst asks about retail. Now Apple is talking about retail sales and mac shipment sales are up. There is strong traffic through the stores. There is tremendous interest in the iPhone.

5:45pm: Lehman Brothers asks more about Apple TV units. It's not broken out, they're saying. It's in music accessories.

5:48pm: Morgan Stanley. "How should we think about Apple's ability to leverage NAND Flash on the books from 2005." That was a strategic investment, and Apple is convinced that was a great decision.

5:49pm: "This was a blowout quarter for Mac sales." With Pro sales as well, with Final Cut shipped and Adobe CS3 there was an uptick.

5:50pm: "How is Apple approaching iPhone in Europe against entrenched companies like Nokia." Apple says it's excited to move in there, and will give more details about partner carriers later. "Anything positive or negative about iPhone sales so far?" We're focused on building the business, and getting into Europe, it's too soon to answer that.

5:51pm: "Will there be any effect on revenue growth due to product transitions?" Apple thinks next quarter can talk more about that.

5:54pm: "Any iPhone demographics to share?" Repeats the 90% people like the iPhone strongly message.

5:56pm: "8 gig vs 4gig iPhone" Apple says mix skewed towards the 8 gig iPhone. "Is the gross margin on the iPhone above gross margin corporate average?" The revenue contribution was $5 million, mostly accessories, not a big impact on the bottom line.

5:57pm: Apple says they plan European companies and inter-Asia areas.

5:58pm: That's all the time. A replay of this will be available at the Apple earnings area. For alternate coverage of the earnings call, see sister site The Unofficial Apple Weblog's coverage here.