Tag - Revenue
Apple revenues fell by $11 billion year-over-year to $50.6 billion in its second 2016 fiscal quarter, reporting its first drop in quarterly revenue since 2003, the company has announced. The results missed consensus analyst estimates of $52.2 billion in revenue, though they fell within Apple's guidance of between $50 billion and $53 billion. Profits were $13.6 billion, while earnings per share was reported as $2.32, above estimates. Gross margin fell incrementally, from 40.1 percent to 39.4 percent over the same quarter last year.
Later today, Apple will posting its revenue and earnings for the company's fiscal second quarter of 2016, which ended on March 31. Following warnings from analysts and the company alike that 2016 would be a "tough compare" year following the iPhone 6 (since it was the first "phablet-sized" iPhone line, releasing much pent-up demand), the iPhone maker is expected to report its first year-over-year drop in revenues since 2003. Sales of the iPod, and later iPhone, buoyed the company's fortunes and pushed it to new quarterly records for the past 13 years.
According to a filing from Apple with the US Securities and Exchange Commission, the iPhone maker is planning to set up another bond sale to raise money for initiatives such as US expansion, stock buybacks, and dividend payouts. Apple, which has spent some $110 billion on share repurchases over the last few years, borrows money despite having a $216 billion dollar treasury because interest rates are low enough that the company saves billions compared to "repatriating" its foreign-held funds.
Despite missing the analyst consensus targets for both revenue and iPhone sales in Q1, as reported earlier Apple set all-time records in almost all areas of its business; it just didn't grow as much as Wall Street had anticipated, and the news about next quarter is genuinely tough, with a significant year-over-year drop in iPhone sales, the first for the company since it introduced the product nine years ago. Despite the various troubles Apple is dealing with even amidst record revenues, there were several bright spots that got overlooked, including an important milestone in the history of Apple: one billion active devices.
Apple revenues rose by $1.3 billion year-over-year to $75.9 billion in its first 2016 fiscal quarter, which ended in December following the usual holiday rush, the company has announced. Profits were $18.4 billion, while earnings per share was reported as $3.28. The results failed to beat consensus analyst estimates of $77.4 billion in revenue, though they fell within Apple's guidance.
Wall Street analysts are heading into the quarterly results conference call for Apple's fiscal Q1 2016 results with an expectation that the company will once again set an all-time record for quarterly revenues, handily beating last year's $74.6 billion in earnings by a current consensus estimate of $2 billion. A polling of a broader range of analysts by Fortune magazine offers an even more rosy $77.4 billion, but many analysts are concerned that iPhone sales will not top last year's results of 74.5 million units.
Apple has announced that it will reveal its fiscal Q1 earnings on January 26 at 2PM PT (5PM ET) with its usual live audio webcast that is available for public streaming. The December quarter included the holiday buying season, but investors are worried that Apple will be unable to match last year's blockbuster $74.6 billion in revenue and $18.04 billion in revenue, which was the best quarterly earnings and profit any company has ever recorded. Last year's Christmas buying season was boosted by the introduction of the larger iPhone 6 line into China and the US.
Apple revenues rose 25 percent year-over-year to $51.5 billion in its fourth fiscal quarter, which ended in September with just a week or so of availability for its latest iPhones, the company has announced. Profits were up 30 percent to $11.1 billion, while earnings per share climbed from $1.42 to $1.96, a 38 percent increase. The results beat consensus analyst estimates of $51.11 billion in revenue. International sales jumped to 62 percent of revenue, fueled by strong growth in China.
Fortune has released its annual list of top US companies, and Apple is again situated at number five on the list, following the same four companies it did last year: Walmart at the top of the list, followed by Exxon Mobil, Chevron, and financial firm Berkshire Hathaway. The listing, which prizes raw revenue over most other factors, noted however that Apple had the highest profits and market share value of any other company on the list.
A new report by analytics firm App Annie has revealed that Apple and Google, as the progenitors of iOS and Android respectively, are locked in a roughly stalemated battle when it comes to revenues from apps versus app downloads. Google's Android enjoys the majority of app downloads, as it has for some time -- but continues to be unable to catch Apple in terms of being able to reward developers for their work. In a set of charts from the analytics firm, Apple's revenue from app sales is about 70 percent higher than Google Play, while Google's downloads outpaced Apple's by 70 percent.
Now AAPL Stock: 95.46 ( + 0.28 )
BlackBerry video calling available on iOS
BlackBerry has made its video calling feature available to Android and iOS users. The company reports limited availability of the new cross-platform feature for now, citing "because this is the first time we're launching BBM Video calling, and we want to monitor performance, gather feedback, and iron out any kinks that may arise before we roll it out globally." http://blck.by/1ruu4pC
Apple loses iPhone brand exclusivity in China
Apple has lost its exclusive rights to the 'iPhone' brand in China, the Beijing Municipal High People's Court has ruled. According to Quartz, Chinese company Xintong Tiandi is now free to continue selling its non-smartphone "IPHONE" branded products, which include smartphone cases, among other leather goods. The Chinese court ruled that Xintong Tiandi, which registered the "IPHONE" trademark in 2007, could continue to use the trademark because Apple did not start selling the iPhone in China until 2009. Apple also could not prove that Xintong Tiandi's ongoing use of the trademark would cause Apple material harm. The latest ruling by the Chinese government follows its recent decision to shut down the iTunes Movies and iBooks Store. http://bit.ly/1SNhRmB
Bowers & Wilkins bought by EVA Automation
High-end UK audio equipment maker and fixture in Apple retail stores Bowers & Wilkins has been bought out by a California "smart home" tech firm, EVA Automation. Fomer Bowers & Wilkins owner Joe Atkins will continue as CEO of the joint venture, with EVA Automation founder Gordon Yu acting as executive chairman. The two companies said the merger will combine EVA's AV technologies and Bowers & Wilkins' acoustic engineering talents to grow the now-combined firm. Terms of the deal were not disclosed, and it is expected that the Bowers & Wilkins brand name will continue. http://yhoo.it/1SLt6zj
Micromat MacCheck released for free
Micromat, the developers of TechTool Pro, today announced a new troubleshooting utility called MacCheck. The new product can perform a series of critical tests on Macintosh systems, helping to isolate what might be wrong with a particular computer. The program quickly tests many of the critical systems in a Macintosh computer, including RAM, I/O, Volume Structures, Partition Maps, Batteries, and RAID systems. MacCheck is being offered free of charge and is available for download immediately from the Micromat website. http://bit.ly/1SKFwaV
Hyundai Sonata 2016 gains CarPlay
The 2016 Hyundai Sonata can now be upgraded to incorporate Apple's CarPlay mobile technology, which augments the built-in infotainment system in the car to incorporate many iPhone features, such as Apple Maps and Siri voice control of navigation and other smartphone functions. The upgrade is accomplished through an SD card owners can obtain from their local Hyundai dealer. Although not disclosed, the upgrade was said to cost "a small fee" when it was initially announced in December of last year. http://bit.ly/1TJzK8f
TimePorter carry tote for Apple Watch
Twelvesouth today began shipping TimePorter, a new travel tote and portable charging stand for Apple Watch that that carries a 6m Apple Watch charging cable, extra Watch bands, USB chargers and more. The case also incorporates the Apple Watch Charging Disc, converting your case into a charging and display stand. It is available for $50 in white or black. http://bit.ly/1SCQM4T
WaterField cycling ride pouches
WaterField's new cycling ride pouches are custom-fit to carry both in one compact kit and are ready for the summer cycling season. The Cycling Ride Pouch includes a clear window that allows basic phone access with the phone still safely within the case, and the Cycling Club Pouch incorporates a padded phone pocket to separate up to an iPhone 6 Plus-sized phone from the tool compartment. Both handsome pouches fit neatly in a back jersey pocket, with optimized surface area for comfort. The Cycling Ride Pouch sells for $80, with the Club Pouch retailing for $50. http://bit.ly/1rRqN4e