Apple (AAPL.US) reported its quarterly earnings with mixed results, leading to a muted market reaction as shares barely moved in after-hours trading. The tech giant posted revenue of $111.18 billion, surpassing expectations of $109.66 billion, and earnings per share (EPS) of $2.01, beating the forecast of $1.95. The standout performer was Apple’s services segment, which generated $30.98 billion, exceeding expectations, while iPhone sales of $56.99 billion fell slightly short of the anticipated $57.21 billion.
Despite the solid overall performance, concerns linger around iPhone demand, attributed to supply chain constraints, particularly chip shortages. Notably, sales in Greater China were stronger than expected at $20.50 billion, indicating resilience in that market. Additionally, Apple announced a $100 billion share buyback and maintained a dividend of $0.27 per share, which may provide some support for the stock.
The key takeaway for investors is the strength of Apple’s services segment, which continues to drive growth, while supply chain issues may pose challenges for iPhone sales in the near term.
Source: xtb.com