The holiday shopping season is typically a strong one for Apple, so it’s expected that the first quarter earnings report of 2017 will be a positive one.
Apple has officially announced its first quarter results of 2017, which will set expectations for the rest of the year, especially ahead of the launch of this year’s flagship iPhone. As some analysts had expected, the holiday shopping season helped propel Apple to a positive three month stretch.
“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.”
For the first quarter of 2017, Apple announced that it earned $78.4 billion in revenue. As far as devices go, the Cupertino-based company confirmed it sold 78.3 million iPhones, 13 million iPads, and 5.3 million Macs. It’s noted in the official announcement that iPhone, Apple services, Mac, and the Apple Watch have set all-time records.
As is par for the course, Apple’s CEO, Tim Cook, chimed in to praise the strong quarter:
“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. 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.”
Apple’s Chief Financial Officer, Luca Maestri, also chimed in:
“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.”
To compare year-over-year, Apple earned $75.9 billion in revenue, on the backs of 74.7 million iPhones, 16.1 million iPads, and 5.3 million Macs sold in the first quarter of 2016.
Finally, Apple provided the typical guidance moving forward through 2017:
- 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