Apple Earnings, Revenues Beat Street; Holiday Season Outlook Strong

(RTTNews) - Apple Inc. (AAPL) Wednesday reported a fourth-quarter profit and revenues that trumped Wall Street estimates. The iPhone maker also issued a strong revenue outlook for the holiday season quarter, indicating a strong demand for its new iPhones and Apple TV+.

Apple's fourth-quarter profit dropped to $13.69 billion or $3.03 per share from $14.13 billion or $2.91 per share last year. On average, 35 analysts polled by Thomson Reuters expected earnings of $2.84 per share for the quarter.

Apple's revenues rose 2 percent to $64.04 billion from last year's $62.90 billion. Analysts had a consensus revenues prediction of $62.99 billion.

Apple's revenues from iPhones dropped to $33.36 billion from $36.76 billion last year. Mac sales declined to $6.99 billion from $7.34 billion last year, and iPad sales increased to $4.66 billion from $3.98 billion last year. Wearables, Home and Accessories segment improved to $6.52 billion from $4.22 billion last year, while services revenues increased to $12.51 billion from $10.60 billion a year ago.

"We concluded a groundbreaking fiscal 2019 with our highest Q4 revenue ever, fueled by accelerating growth from Services, Wearables and iPad," said Tim Cook, Apple's CEO. "With customers and reviewers raving about the new generation of iPhones, today's debut of new, noise-cancelling AirPods Pro, the hotly-anticipated arrival of Apple TV+ just two days away, and our best lineup of products and services ever, we're very optimistic about what the holiday quarter has in store."

Looking forward to the first quarter, Apple expects revenues between $85.5 billion and $89.5 billion. Analysts currently project revenues of $86.92 billion.

AAPL closed Wednesday's trading at $243.26, down $0.03 or 0.01%, on the Nasdaq. The stock, however, gained $2.75 or 1.13% in the after-hours trading.