No. of Recommendations: 2
Apple shares climbed 7% in extended trading on Thursday after the iPhone maker reported quarterly earnings that topped estimates and announced an expanded stock buyback program.
Apple announced that its board had authorized $110 billion in share repurchases, a 22% increase over last year’s $90 billion authorization. It’s the largest in history, ahead of Apple’s previous repurchases, according to data from Birinyi Associates.
However, overall sales fell 4% and iPhone sales fell 10% year-over-year during the quarter, which Apple attributed to a tough comparison versus last year.
Here’s how Apple did versus LSEG consensus estimates in quarter ended March 30:
EPS: $1.53 vs. $1.50 estimated
Revenue: $90.75 billion vs. $90.01 billion estimated
iPhone revenue: $45.96 billion vs. $46.00 billion estimated
Mac revenue: $7.5 billion vs. $6.86 billion estimated
iPad revenue: $5.6 billion vs. $5.91billion estimated
Other Products revenue: $7.9 billion vs. $8.08 billion estimated
Services revenue: $23.9 billion vs. $23.27 billion estimated
Gross margin: 46.6% vs. 46.6% estimated
Apple did not provide formal guidance, but Apple CEO Tim Cook told CNBC’s Steve Kovach that overall sales would “grow low single digits” during the June quarter.
Apple posted $81.8 billion in revenue during the year-ago June quarter and LSEG analysts were looking for a forecast of $83.23 billion.
