Apple, Inc. (NASDAQ: AAPL)
Apple on Thursday reported higher than expected fiscal fourth-quarter results but issued a downbeat revenue forecast for its fiscal 2019 first quarter. Investors of the trillion-dollar company were disappointed by the outlook, sending its shares down 7% in post-market trade.
Wall Street was anxiously waiting to know how Apple performed in China, considering the present trade relations between the Asian giant and the United States. Nonetheless, the iPhone maker did not disappoint as revenue jumped to $11.4 billion for the quarter, versus $9.8 billion in the prior-year period.
Apple stock has rallied 32% year over year, while the DJIA has added nearly 8%. The shares closed Thursday’s regular session with a gain of 1.36% to $222.22.
AAPL Earnings & Outlook
Apple announced a profit of $14.1 billion, up 32% from $10.7 billion in the same three months last year. Earnings per share came in at $2.91, surpassing the average consensus of $2.79, according to Zacks.
Revenue totaled to $62.9 billion, which is an increase of 20% from $52.58 billion a year earlier. Analysts had called for adjusted earnings of $2.78 per share on revenue of $61.46 billion, based on figures compiled by FactSet.
Apple generated $37.2 billion from iPhone smartphones, above average consensus of $35.6 billion. During the quarter, the average selling price for an iPhone was $793, whereas analysts had projected $751.
Looking ahead, the Dow component expects first quarter 2019 revenue to be in the range of $89 billion to $93 billion. Analysts model revenue of $92.9 billion for the quarter.
Apple CEO Comments
“We’re thrilled to report another record-breaking quarter that caps a tremendous fiscal 2018, the year in which we shipped our 2 billionth iOS device, celebrated the 10th anniversary of the App Store and achieved the strongest revenue and earnings in Apple’s history,” said Tim Cook, Apple’s Chief Executive Officer.
“Over the past two months, we’ve delivered huge advancements for our customers through new versions of iPhone, Apple Watch, iPad and Mac as well as our four operating systems, and we enter the holiday season with our strongest lineup of products and services ever.”
Apple, Inc Company Profile
Apple, Inc. engages in the design, manufacture, and marketing of mobile communication, media devices, personal computers, and portable digital music players. It operates through the following geographical segments: Americas, Europe, Greater China, Japan, and Rest of Asia Pacific.
The Americas segment includes both North and South America. The Europe segment consists of European countries, as well as India, the Middle East, and Africa. The Greater China segment comprises of China, Hong Kong, and Taiwan. The Rest of Asia Pacific segment includes Australia and Asian countries not included in the reportable operating segments of the company.
The company was founded by Steven Paul Jobs, Ronald Gerald Wayne, and Stephen G. Wozniak on April 1, 1976 and is headquartered in Cupertino, CA. – CNN Money