Apple shares gain ground after revenue and profit beat expectations
- Apple stock jumps after better-than-feared earnings report
- Revenue of $90.8 billion, down 4% from last year
- Profits of $1.53 a share, above Street consensus
- iPhone sales down 10.5% due to weak demand in China
- iPad revenue off 16.7%, Mac sales up 3.9%
- Services revenue up 14.2%, overall product revenues down 9.5%
- Apple increases dividend and expands stock repurchase program
- iPhone sales in China increased in the quarter
- Apple expects revenue to be up in low single digits for June quarter
- Gross margin expected to be between 45.5% and 46.5%
Apple shares gained ground in late trading Thursday after the company posted March quarter results that weren’t as bad as the market had feared. For the March quarter, Apple posted revenue of $90.8 billion, down 4% from a year ago, and slightly above the Wall Street consensus forecast as tracked by FactSet of $90.5 billion. Profits were $1.53 a share, just above the Street consensus of $1.51. iPhone sales tumbled 10.5% to $46 billion, while iPad revenue was off 16.7% at $5.6 billion. Mac sales were a positive surprise, up 3.9% to $7.5 billion. Services revenue was up 14.2% to $23.9 billion. Overall product revenues were down 9.5% to $66.9 billion. Apple also increased its dividend and expanded its stock repurchase program. The company expects revenue to be up in the low single digits for the June quarter, with gross margin between 45.5% and 46.5%.
Factuality Level: 2
Factuality Justification: The article provides a factual account of Apple’s financial performance in the March quarter and the company’s projections for the future. However, it contains unnecessary details, such as the history of Apple’s dividend increases, and includes speculative information about potential risks Apple faces in China and the U.S. The article lacks depth in analyzing the financial data and focuses more on stock performance and market reactions.
Noise Level: 3
Noise Justification: The article provides a detailed analysis of Apple’s quarterly results, including revenue, profits, product sales, and future expectations. It also mentions potential risks and challenges faced by Apple. However, the article contains some repetitive information and does not delve deep into the long-term trends or antifragility of Apple’s business.
Financial Relevance: Yes
Financial Markets Impacted: Apple shares
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article discusses Apple’s financial results for the March quarter and its impact on the company’s stock. There is no mention of any extreme events.
Public Companies: Apple Inc. (AAPL), Huawei Technologies Co., Ltd. (undefined)
Private Companies: ByteDance
Key People: Tim Cook (CEO), Luca Maestri (CFO)
Reported publicly:
www.marketwatch.com 
