Apple, the renowned consumer electronics company, surpassed analysts’ expectations for its fiscal second quarter results, with a slight increase in earnings and a decrease in sales compared to the previous year. The company also announced a raise in its dividend and stock buyback program. Following this news, Apple’s stock experienced a rise during after-hours trading. In addition to this, Apple reported earnings of $1.53 per share on sales totaling $90.8 billion for the quarter ending on March 30th, slightly exceeding the anticipated figures of $1.51 per share on sales of $90.4 billion according to FactSet’s poll of analysts.
Furthermore, Apple’s board approved an increase in dividend to 25 cents per share and authorized a $110 billion share repurchase plan. Despite a 10 decline in hardware sales year over year to $66.9 billion, services revenue saw an increase of 14 reaching a record high of $23.9 billion during the same period.
Looking ahead to the June quarter, Chief Financial Officer Luca Maestri expressed expectations for total revenue growth at a low single-digit percentage rate with double-digit growth projected for iPad sales and services revenue continuing its double-digit growth trend from earlier in the fiscal year.
Apple stock surged by 6.8 during after-hours trading today reaching 184.78 following an increase of 2.2 during regular trading hours closing at 173.03 on Thursday.
Despite facing challenges such as declining iPhone revenue by 10.5 to $45.96 billion and weak performance in China along with market saturation and lack of AI strategy concerns, Apple remains optimistic about future growth opportunities particularly highlighting positive trends such as increased Mac computer sales by 4 reaching $7.45 billion while iPad sales decreased by 17 to $5..56 billion and revenue from wearables, home, and accessories dropped by 10 reaching $7..91 billion.
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