Apple on Thursday reported results that struck the Wall Street expectations while consumers gathered on the iPhone amid fears of potential import taxes on his signature device by President Trump.
Cupertino, based in California, said its sales and profit for the second fiscal quarter that ended March $ 29 were $ 95.36 billion and $ 1.65 per share, respectively, compared to analyst estimates of $ 94.68 billion and $ 1.63 per share, according to LSEG data. The iPhone sales were $ 46.84 billion, compared to estimates of $ 46.17 billion, according to LSEG data.
Apple’s shares were reduced 1.5% in post -time trading after the results were released.
While the results were better than the analysts had expected, investors are focused on how tariff concerns will play in the next quarter.
The Trump administration has so far saved electronics from tariffs, but Washington has signaled that some taxes may come in the coming weeks. The uncertainty has sent Apple shares, which makes 90% of its products in China, down about 15% this year, wiping more than $ 600 billion from its market value.
Microsoft’s optimistic forecast received its market capitalization at $ 3.2 trillion, beating Apple to capture first place.
Apple will try to mitigate fees by shifting the production of US-related iPhones to India, Reuters reported. Analysts expect the company to spread some of the tariff costs through its supply chain, keeping prices increases to a minimum to avoid losing the market share at a time when it faces fierce competition and has experienced delays in distributing the main features of artificial intelligence, such as improvements in its Syrian assistant.
Apple General Director Tim Cook told Reuters on Thursday that the iPhone inventory levels at the beginning and at the end of the second fiscal trimester were comparable, meaning that there was no large construction of inventory during this period. Cook said mobile sales were increased by the iPhone 16e, the $ 599 company model of the company containing its first custom modem chip.
The iPhone 16 is Apple’s cheapest model, but has a very powerful processor to run all the newest features of the company’s company.
“When you look at the active installed base (iPhone), it hit a young young man and did so in any geographical region,” Cook Reuters told.
Apple said sales in its Greater China segment fell to $ 16 billion, better than analysts of $ 15.9 billion, according to data from the visible Alpha. In China, Apple has faced particularly fierce competition by local manufacturers like Huawei and Xiaomi and has not yet wrapped the main features of the one that was notified nearly a year ago.
Reuters earlier reported that Apple has partned with alibaba to provide the feature of it in China, but Apple has not yet signaled when those traits will become available.
Apple said sales in its services business were $ 26.65 billion, compared to estimates of $ 26.69 billion, according to LSEG data. Cook told Reuters that Apple now has more than 1 billion paid subscriptions on its platform.
In the segment of Apple accessories and clothing, which includes products such as Airpods, revenues were $ 7.52 billion, compared to estimates of $ 7.85 billion, according to LSEG.
IPADS and MACs sales were $ 6.40 billion, and $ 7.95 billion, respectively, compared to analist expectations of $ 6.07 billion and $ 7.92 billion. Cook said the entry level iPads performed the best during the quarter.
Apple also said she would increase her 4% money dividend to 26 cents per share and that her board has authorized an additional $ 100 billion for his stock purchase program.
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