Apple has officially announced their 1Q 2019 results. Here’s everything we know.
Following Apple’s first fiscal quarter results for the 2019 fiscal year earnings call yesterday, Apple stock was traded at $164.68, up 6.64%. Even though the earnings report shows that Apple’s first-quarter revenue was $84.31 billion, down 5% from the previous year’s $88.293 billion, but higher than the previous analysts’ estimate of $83.97 billion; a 7.5% gain over the same period in 2018, setting a historical record.
According to Apple, net profit stood at $19.965 billion, down 0.5% from $20.065 billion in the same period last year. Between them, Greater China revenue was $13.169 billion, down nearly 27% from the same period last year of 17.956 billion US dollars. Apple’s first-quarter EPS profit was $4.18, slightly higher than analysts’ expectations of $4.17. Moreover, this past quarter is the second-best ever quarter for Apple despite earning warnings it issued early this month.
Apple CEO Cook said the company is considering adjusting its pricing strategy. In an interview with Reuters, Cook said that in some countries, he admits the price of the iPhone has risen rapidly over time due to the currency exchange, and Apple has decided to lower the prices in some emerging countries.
As for its fiscal 2019 second quarter, Apple provided the following guidance:
- revenue between $55 billion and $59 billion
- gross margin between 37 percent and 38 percent
- operating expenses between $8.5 billion and $8.6 billion
- other income/(expense) of $300 million
- tax rate of approximately 17 percent