Consumer electronics giant Apple Inc. (AAPL) reported fiscal 2023 third-quarter earnings of $1.26 per share, beating Wall Street analysts’ estimate of $1.19 per share, while its revenue of $81.80 billion matched the consensus estimate. However, the company’s revenue fell 1.4% year-over-year, marking three consecutive quarters of declining sales.
Apple has been hurt by an industrywide slump that has weakened demand for phones, computers, and tablets. AAPL’s iPhone revenue was $39.70 billion for the quarter, nearly a 2% year-over-year decline. Its Mac revenue came in at $6.80 billion, a 7% drop from the corresponding quarter of 2022, while iPad revenue was down approximately 20%.
But services were a bright spot during the third quarter. Services revenue reached a new all-time high of $21.20 billion. The services business, which includes Apple Music and Apple TV+, is an increasingly important revenue drive for AAPL.
“We are happy to report that we had an all-time revenue record in Services during the June quarter, driven by over 1 billion paid subscriptions, and we saw continued strength in emerging markets thanks to robust sales of iPhone,” said AAPL’s CEO Tim Cook.
On a call with analysts, Cook added, “We continue to face an uneven macroeconomic environment, including nearly four percentage points of foreign exchange headwinds.”
“Looking ahead, we’ll continue to manage for the long term, always pushing the limits of what’s possible and always putting the customer at the center of everything we do,” he added.
After reporting a revenue decline in the last reported quarter, Apple’s CFO Luca Maestri said on a conference call that investors could expect another drop…
Continue reading at STOCKNEWS.com
