Apple put the smile back on the face of tech investors on Tuesday with a bumper set of third-quarter results that sent its stock soaring.
After the horrors of last week, when disappointing results from both Facebook and Twitter sent their respective shares tumbling by about a fifth, Apple cheered the market with a 17% rise in revenue compared with the third quarter of last year.
In Apple’s financial year, the third quarter runs to the end of June.
Growth in all world markets
Tim Cooke, Apple’s chief executive, said: “We’re thrilled to report Apple’s best June quarter ever, and our fourth consecutive quarter of double-digit revenue growth.”
Broken down geographically, revenue in the Americas stood at $24.452 billion, a 20% rise on the $20.376 billion seen in the same period last year. In Europe, the figure was $12.138 billion, 14% up on the $10.675 billion seen last time.
In Greater China, revenues grew by 19% from $8.004 billion to $9.551 billion, while in Japan, revenue rose 7% from $3.624 billion to $3.867 billion.
Looking at different products, the renowned iPhone saw revenues up 20% from $24.846 billion in the third quarter of last year to $29.906 billion. As this was achieved on the back of a mere 1% rise in the number of units sold, from 41.026 million to 41.300 million, it would seem customers are trading up to more expensive models.
Revenues from sales of the iPad were down 5% on the $4.969 billion last time at $4.741 billion, while the number of units sold was, as with the iPhone, barely changed, 1% higher on the 11.424 million sold in the third quarter of 2017 at 11.553 million.
Payday for investors
The Mac computing range also suffered a decline in revenue, down 5% on the $5.592 billion seen in the third quarter of last year to at $5.330 billion. The number of units sold was 13% down at 3.720 million from 4.292 million.
There was brighter news from the company’s services side, which includes revenue from AppleCare, Apple Pay, “licensing and other services”. Here, revenues were 31% higher, at $9.548 billion against $7.226 billion last time.
In “other products”, which includes the sale of AirPods, Apple TV, Apple Watch and goods from the audio products business Beats, revenue was up 37% at $3.740 billion, from $2.735 billion in the third quarter of 2017.
There will be a dividend of $0.73 per share, payable on August 16. Earnings per share of $2.34 beat market estimates put by Thomson Reuters, the financial information company, at about $2.18.