Apple posted its third quarterly earnings and they look better than expectations . Apple recorded a revenue of 53.8 billion dollars as against the Wall Street expectations of 53.4 billion dollars . The earnings per share were at 2.18 dollars . IPhone sales raked in 25.9 billion dollars which was better than expected .
The investors seemed to cheer Apple CEO Tim Cook’s commentary about improving sales in China which records almost 18 percent of Apple’s total revenue . Global sales accounted for 59 percent of Apple’s total revenue . The US based company also declared dividend of 77 cents per share to its shareholders .
Q4 Guidance :
Apple set the guidance for its fourth quarterly earnings at $ 61-$ 64 billion . The Gross margin is expected to be between 37.5 percent and 38.5 percent . Apple’s shares were trading 4 percent higher in the after hours of trading after Tim Cook’s positive outlook and new launch statements .
Profit :
Apple brought in 10 billion dollars in profit in the third quarter . Apple is managing to hold onto its sales and profits despite the IPhone not performing as the Company would have liked . Sales in China were only down 4 percent despite the US-China trade war . This seemed to impress investors as the Company was facing a lot of heat from the US president, Donald Trump . Apple is betting big on Services to bring in revenue and also got 55 percent more subscriptions for its paid services and the number of people paying reached 471 million .