Apple has announced their 2018 Q2 earnings, selling a 52.2 million iPhones with a quarterly revenue of $61.1 billion USD, an increase of 16% year over year–its fastest growth in over two years.
The company’s net income was $13.8 billion, an increase of $2.79 billion compared to the year ago quarter. Apple said international sales accounted for 65% of the quarter’s revenue.
“We’re thrilled to report our best March quarter ever, with strong revenue growth in iPhone, Services and Wearables,” said Tim Cook, Apple’s CEO. “Customers chose iPhone X more than any other iPhone each week in the March quarter, just as they did following its launch in the December quarter. We also grew revenue in all of our geographic segments, with over 20% growth in Greater China and Japan.”
Here is a breakdown of first quarter sales by device:
- 52.2 million iPhones (+3% YoY); revenue increase 14% YoY
- 9.11 million iPads (+2% YoY); revenue increase 6% YoY
- 4.07 million Mac computers (-3% YoY); revenue change of 0% YoY
While iPhone sales were short of Wall Street expectations but still up year-over-year.
As for its next fiscal Q3 in 2018, Apple is providing the following guidance:
• revenue between $51.5 billion and $53.5 billion
• gross margin between 38 percent and 38.5 percent
• operating expenses between $7.7 billion and $7.8 billion
• other income/(expense) of $400 million
• tax rate of approximately 14.5 percent
Apple also announced it would give $100 billion back to shareholders through a huge stock buyback plan. Dividends are set to also increase 16% to 73 cents per share. Apple’s cash reserve is now $267.2 billion as of Q2.
In after-hours trading, Apple’s stock was up as much as 5 per cent.
…more to follow, refresh for updates