As expected, Apple has posted its earnings results for the first quarter of 2017.
Seeing gains in its iPhone, Mac, Services and -perhaps, most interestingly– Apple Watch businesses, the company on Tuesday announced quarterly revenue of $78.4 Billion and an all-time record for quarterly earnings per diluted share of $3.36 – compared to its previous fiscal quarter.
The company posted $75.9 Billion in revenue, net income of $18.4 Billion and earnings per diluted share of $3.28 in the year-ago quarter (Q1, 2016).
Meanwhile, international sales for the holiday quarter accounted for 64-percent, compared to 66-percent – previously.
“We sold more iPhones than ever before and set all-time revenue records for iPhone, Services, Mac and Apple Watch,” said Tim Cook, Apple’s CEO.
Despite announcing that the company had achieved a new “all-time” record for Apple Watch revenue during the period, though, executives at the Californian company stopped short on providing investors with any hard figures.
Apple did take Tuesday afternoon’s opportunity to declare a cash dividend of $0.57 per share, however.
The dividend will be payable on February 16, 2017 to shareholders of record, as of the close of business on February 13, 2017.
$AAPL is currently down 0.28 points (-0.23%) on today’s earnings announcement, reflecting $121.35 per share at the time of writing.
Full press release follows.
Apple Reports Record First Quarter Results
iPhone, Services, Mac and Apple Watch set all-time
CUPERTINO, California — January 31, 2017 — Apple® today announced financial results for its fiscal 2017 first quarter ended December 31, 2016. The Company posted all-time record quarterly revenue of $78.4 billion and all-time record quarterly earnings per diluted share of $3.36. These results compare to revenue of $75.9 billion and earnings per diluted share of $3.28 in the year-ago quarter. International sales accounted for 64 percent of the quarter’s revenue.
“We’re thrilled to report that our holiday quarter results generated Apple’s highest quarterly revenue ever, and broke multiple records along the way. We sold more iPhones than ever before and set all-time revenue records for iPhone, Services, Mac and Apple Watch,” said Tim Cook, Apple’s CEO. “Revenue from Services grew strongly over last year, led by record customer activity on the App Store, and we are very excited about the products in our pipeline.”
“Our outstanding business performance resulted in a new all-time record for earnings per share, and over $27 billion in operating cash flow,” said Luca Maestri, Apple’s CFO. “We returned nearly $15 billion to investors through share repurchases and dividends during the quarter, bringing cumulative payments through our capital return program to over $200 billion.”
Apple is providing the following guidance for its fiscal 2017 second quarter:
revenue between $51.5 billion and $53.5 billion
gross margin between 38 percent and 39 percent
operating expenses between $6.5 billion and $6.6 billion
other income/(expense) of $400 million
tax rate of 26 percent
Apple will provide live streaming of its Q1 2017 financial results conference call beginning at 2:00 p.m. PST on January 31, 2017 at www.apple.com/investor/earnings-call/. This webcast will also be available for replay for approximately two weeks thereafter.
This press release contains Company to deliver to the marketplace and stimulate customer demand for new programs, products, and technological innovations on a timely basis; the effect that product introductions and transitions, changes in product pricing or mix, and/or increases in component costs could have on the Company’s gross margin; the inventory risk associated with the Company’s need to order or commit to order product components in advance of customer orders; the continued availability on acceptable terms, or at all, of certain components and services essential to the Company’s business currently obtained by the Company from sole or limited sources; the effect that the Company’s dependency on manufacturing and logistics services provided by third parties may have on the quality, quantity or cost of products manufactured or services rendered; risks associated with the Company’s international operations; the Company’s reliance on third-party intellectual property and digital content; the potential impact of a finding that the Company has infringed on the intellectual property rights of others; the Company’s dependency on the performance of distributors, carriers and other resellers of the Company’s products; the effect that product and service quality problems could have on the Company’s sales and operating profits; the continued service and availability of key executives and employees; war, terrorism, public health issues, natural disasters, and other circumstances that could disrupt supply, delivery, or demand of products; and unfavorable results of legal proceedings. More information on potential factors that could affect the Company’s financial results is included from time to time in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s public reports filed with the SEC, including the Company’s Form 10-K for the fiscal year ended September 24, 2016 and its Form 10-Q for the fiscal quarter ended December 31, 2016 to be filed with the SEC. The Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates.
/ Apple PR