Multinational technology company Apple seems to have more cards up its sleeves. Despite sales of its famous smartphone falling short, the company was still able to report earnings that prove it’s in a healthy and competitive position.
Last year, the company faced another challenge when tensions between China and North America started to intensify once again. Canada’s arrest of Meng Wanzhou, a senior officer from the Chinese consumer electronics manufacturer Huawei. This eventually contributed to a Chinese consumer backlash on some American and Canadian companies — Apple included.
According to CNBC, the informal boycott caused iPhone sales to fall short, prompting the company to release revenues that are weaker than their previous forecast.
Apple CEO Tim Cook,
Apple bounces back
For fiscal 2019 first quarter ended December 29, 2018, Apple a quarterly revenue of $84.3 billion, five percent lower than the same quarter from a year ago. This represents a 15 percent slump on iPhone revenues from the past 12 months.
Despite that, earnings per share are still at a record high. Quarterly earnings per diluted share of $4.18 show it’s up 7.5 percent from last year’s $3.89. The rise in earnings was partly because of the company’s share repurchase program, which helped reduce its massive share count — down to 4.8 billion from last quarter’s 5.2 billion shares. In addition, according to Apple’s report: “total revenue from all other products and services grew 19 percent. Services revenue reached an all-time high of $10.9 billion, up 19 percent over the prior year.”
In a letter to shareholders dated January 2, Cook said, “Lower than anticipated iPhone revenue, primarily in Greater China, accounts for all of our revenue shortfall to our guidance and for much more than our entire year-over-year revenue decline.”
Moving forward, Apple says it expects that its second fiscal quarter revenues to come somewhere in between $55 billion and $59 billion, lower than last year’s $61.1 billion. However, this shows that despite a slowdown in iPhone sales, the company is still in a good place financially.
“While it was disappointing to miss our revenue guidance, we manage Apple for the long term, and this quarter’s results demonstrate that the underlying strength of our business runs deep and wide,” said Cook.
MATIC Share Price Forecast: What Does Polygon Expect in the Current Bear Market?
Cryptocurrencies such as Bitcoin and Polygon have a close correlation with stocks. In most cases, they rise when leading indexes...
Coima sgr’s Porta Nuova Centrale Fund Secures €173.5 Million Green Financing
Coima sgr, founded and led by CEO Manfredi Catella, ended 2021 with assets under management up 6 percent to $9.74...
Canopy Growth Sales Disappoint, Stock Under Pressure
Just a week before announcing its latest numbers, Canopy announced its latest acquisition: the purchase of California-based cannabis extraction and...
Solidarity Day 2022: Ganzourgou Producers Offer 2.6 Tons of Food to Vulnerable People
Regarding the selection criteria of vulnerable people, Ambroise Ouédraogo said that his association collaborates with the provincial directorate of Social...
Ford Chooses Almussafes over Germany for the Production of Electric Models
Thus, the Valencian factory will be the fifth Spanish factory to produce all-electric models. Stellantis manufactures electric models at its...
Biotech2 weeks ago
Satellos Bioscience’s Stem Cell Signaling Research Could Turn the Tables on Muscular Dystrophies
Cannabis2 weeks ago
Luis Figo Launches His Brand of CBD Products
Featured2 weeks ago
Stock Markets Have Officially Entered Bear Territory
Business2 weeks ago
The Influx of Federal Funds Is Spurring Rail Improvements Nationwide