Apple beats Street with biggest June quarter ever

Apple today announced financial results for its fiscal 2019 third quarter ended June 29, 2019. The Company posted quarterly revenue of $53.8 billion, an increase of 1 percent from the year-ago quarter, and quarterly earnings per diluted share of $2.18, down 7 percent. International sales accounted for 59 percent of the quarter’s revenue.

“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,” said Tim Cook, Apple’s CEO, in a statement. “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.”

“Our year-over-year business performance improved compared to the March quarter and drove strong operating cash flow of $11.6 billion,” said Luca Maestri, Apple’s CFO, in a statement. “We returned over $21 billion to shareholders during the quarter, including $17 billion through open market repurchases of almost 88 million Apple shares, and $3.6 billion in dividends and equivalents.”

Net sales by category:
• iPhone: $25.986 billion
• Mac: $5.820 billion
• iPad: $5.023 billion
• Wearables, Home and Accessories: $5.525 billion
• Services: $11.455 billion

Apple is providing the following guidance for its fiscal 2019 fourth quarter:

• revenue between $61 billion and $64 billion
• gross margin between 37.5 percent and 38.5 percent
• operating expenses between $8.7 billion and $8.8 billion
• other income/(expense) of $200 million
• tax rate of approximately 16.5 percent

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

Apple will provide live streaming of its Q3 2019 financial results conference call beginning at 2pm PDT / 5pm EDT on July 30, 2019 at This webcast will also be available for replay for approximately two weeks thereafter.

Source: Apple Inc.

MacDailyNews Take: Ta-da!

AAPL after hours: $215.61, +$6.83, (+3.27%) @ 4:36PM EDT


      1. Apple finally woke up to the reality that one trick pony won’t give them sustained sales. It was obvious. Rather being late than never though. I am pleased.
        Keep it up Apple!

    1. Revenue: “an increase of 1 percent from the year-ago quarter”

      That lackluster performance excites you? You are too easily satisfied.

      Apple just burned another $17 billion on buybacks when that money would be better spent on dividends and R&D and retail expansion.

      Part of the blame for Apple’s weak revenue comes from Apple’s repeated product mistakes, part seems to be a cooling economy that hasn’t even kept pace with the prior 8 years on average. Look it up for yourself if you think otherwise. The world economy isn’t performing as well as claimed, and the US economy in particular hasn’t made any step changes since the Bush crash. The GOP knows it too, the administration is applying blatant political pressure for yet more rate cuts to goose the economy a little while longer. They would love nothing more than to inflate the bubble and pop it when the next administration enters office. Of course insulting China, Apple’s home base for manufacturing and main focus for future sales growth, doesn’t help either. Limp penis Cook has done nothing to make Apple a worldwide diversified manufacturer with best-in-class hardware and software. He would rather sell Applecare, iOS apps, and rent media.

      One more thing: is your personal income taxed at 16.5%? Does your small business enjoy a tax that low? Since Apple doesn’t actually try at all to increase US employment other than undertrained low-wage retail drones, why exactly is the US administration rewarding such megacorporations with obscenely low taxes while hardworking taxpayers pay significantly more, in some cases twice the rate??? Trickle down again didn’t work. All the tax cut money that was supposedly going to bump the GDP to 4, 5, 6, 7+ % depending on the speech you listened to went to stock buybacks and executive bonuses. No new Apple factories to be seen in the good ol’ US of A. Doesn’t stop this site from willfully believing otherwise, however.

      1. Could we just address some of your more egregious errors?

        1% is quite a good turnaround from 2 previous quarters of negative growth. It is especially good considering that 60% of revenue is earned outside the USA and the USD has strengthened during that time, depreciating the value of those international sales in USD terms.

        Considering that you do not have inside knowledge of the relative rate of return from investing more money in the other things you list compared to buybacks, you can not definitely state that this is a poor use of money. I’m guessing Apple has some pretty smart people evaluating the best bang for their buck all the time, it isn’t based on Tim Cook’s gut.

        While your comments on the US and world economies are pretty spot on in terms of overexaggerated reports of growth and pretty blatant interference by government on the supposedly independent workings of the Fed, comments about product mistakes and weak revenue don’t bear out. Revenue was well up in adjusted dollar terms, Mac sales were up well in excess of the industry and iPhone sales are bearing up well in an environment of lengthening replacement cycles as is bourne out by the large increases in installed user base. Apple is killing it in wearables ie. AirPods an Watches.

        Disparaging the focus on services is to ignore the reality that if people don’t want to buy as many phones as often as they used to, the best thing to do is to keep them as customers by offering them a lifetime of connection with Apple so that you can keep earning from them and also keep them as Apple customers for when they do wish to purchase again.

        Your assertion that Apple is not a diversified manufaturer also does not stand up to scrutiny. In fact, quite a few of Apple’s components are made in more modern economies and shipped to centralised assembly points, which themselves are gradually moving away from a China-centric presence. You have only to read MDN on a regular basis to know that tech industry assembly and manufacturing plants are increasingly being set up in the Phillippines, Indonesia, Thailand, Malaysia, etc.

        Penultimately, Apple does not just employ retail employees in the USA. The tens of thousands of people who work in Apple Park alone are predominantly highly qualified professionals doing cutting edge R&D, optimising processes, inventing brand new tech (eg. Apple’s own graphics controllers, T2, W1, A series chips, etc. In addition, they own and partner with many other companies doing originalThey are also responsible for hundreds of millions of dollars of revenue being distributed to app developers in the USA and around the world. And your tax rate would also be much lower if you were outlaying billions of dollars in claimable and legitimate business expenses.

        Finally, why the personal attack on Tim Cook? Surely we can have a civilised debate about Apple’s and Cook’s performance without making disparaging comments about individuals.

        1. There’s always a lot to digest with quarterly reports.

          and YMMV, but I don’t see the picture being as rosy as you’re suggesting.

          Specifically, while a +1% YoY is better than another decline, it also isn’t a ton.
          But more disconcerting is that the earnings per diluted share were down by 7%.

          And since APPL did a 88 million share buyback, it means that that number was actually slightly worse than -7%.

          Not a lot worse than -7%, granted, since 88M buyback out of 4710M shares is only 1.87% … but there’s still the question as to why, it went down at all, when the revenue was reported as up by +1%.

  1. So Tim Cook’s Apple is firing on all cylinders in worldwide shrinking markets, with trade tariff stupidity and geopolitical disruptions on all sides, …
    Time to fire Tim Cook!

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