Apple Reports its Third Quarter Results

appleprof-250x180Apple has released its fiscal third quarter results on Tuesday that reports a total of $37.4 billion in revenue with $7.7 billion in net profit. The company is representing $1.28 per share and when compared to the year ago quarter, the company corresponds to a growth of 5.9 percent in revenue and 19.6 percent in EPS.

In a press release, Apple’s CEO Tim Cook wrote, “Our record June quarter revenue was fueled by strong sales of iPhone and Mac and the continued growth of revenue from the Apple ecosystem, driving our highest EPS growth rate in seven quarters. We are incredibly excited about the upcoming releases of iOS 8 and OS X Yosemite, as well as other new products and services that we can’t wait to introduce.”

During the quarter, the company is able to sell 35.2 million iPhones which is a high jump of 12.7 percent than previous year over year. The fiscal year turned out to be boon cause of the increased sales of iPhone otherwise if iPad was to be considered then the result is disappointing. The sales for iPad were down by 9.2 percent at 13.3 million compared to the last year’s 14.6 million.

Luca Maestri, CFO of Apple said, “We generated $10.3 billion in cash flow from operations and returned over $8 billion in cash to shareholders through dividends and share repurchases during the June quarter. We have now taken action on over $74 billion of our $130 billion capital return program with six quarters remaining to its completion.”

At the end, the result is really worthy and we must say Apple is able to perform incredible on the stock market. The shares have been steadily rising up for the last three months after its wise step of splitting its shares 7 for 1 stock. This helped in boosting the dividend strategy of Apple.

Due to a better gross margin predicted for this quarter, the analysts and Apple both anticipated a good quarter. Likewise for the coming fiscal year 2014 fourth quarter, Apple is providing the guidelines that include their revenues to be between $37 billion and $40 billion with gross margin between 37 percent and 38 percent. The operating expenses are expected between $4.75 billion and $4.85 billion with other income or expense of $250 million. Let’s hope this predicted guideline comes true and Apple sells more iPhone along with iPads in the upcoming future.

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