How Apple Won Out in Q3

Apple Inc. (NASDAQ: AAPL) released its most recent quarterly results after markets closed Tuesday. The iPhone giant said that it had $2.18 in earnings per share (EPS) and $53.8 billion in revenue, compared with consensus estimates that called for $2.10 in EPS and $53.39 billion in revenue. The third fiscal quarter from last year had $2.34 in EPS and $53.27 billion in revenue.

The board of directors has declared a cash dividend of $0.77 per share of the common stock. The dividend is payable on August 15, 2019, to shareholders of record as of the close of business on August 12.

In its most recent quarter, the firm reported its product sales as follows:

  • iPhone pulled in revenues of $29.91 billion, an increase of 20% year over year.
  • Mac revenues decreased by 5% to $5.33 billion.
  • iPad revenues decreased 5% to $4.74 billion.
  • Services revenues increased by 31% to $9.55 billion.
  • Other Products revenues increased by 37% to $3.74 billion.

Regarding guidance for the fiscal fourth quarter, the company expects to see revenues in the range of $61 billion to $64 billion and a gross margin of 37.5% to 38.5%. The consensus estimates call for $2.67 in EPS on $61.02 billion in revenue for the coming quarter.

Tim Cook, Apple’s CEO, commented:

This was our biggest June quarter ever — driven by all-time record revenue from Services, accelerating growth from Wearables, strong performance from iPad and Mac and significant improvement in iPhone trends. These results are promising across all our geographic segments, and we’re confident about what’s ahead. The balance of calendar 2019 will be an exciting period, with major launches on all of our platforms, new services and several new products.

Shares of Apple closed Wednesday at $208.78, with a 52-week range of $142.00 to $233.47. The consensus analyst price target is $213.80. Following the announcement, the stock was up 3.5% at $216.14 in the after-hours session.