Last Updated : GMT 21:10:09
Arab Today, arab today
Arab Today, arab today

Analysts had expected even more

Apple profit jumps but shares slip

Arab Today, arab today

Arab Today, arab today Apple profit jumps but shares slip

Apple's quarterly profit leapt 38% to $10.7bn on surging iPhone sales
San Francisco - Arab Today

Apple's latest quarterly profit leapt as people around the world snapped up big-screen iPhones but its shares slipped as analysts had expected even more.

The US tech giants reported Tuesday that its profit jumped 38 percent to $10.7 billion on surging iPhone sales, compared to $7.7 billion in the same period last year.

Nevertheless, Apple shares fell sharply in after hours trading, at one point down around eight percent as traders noticed lower than expected sales forecasts.

"We had an amazing quarter," chief executive Tim Cook insisted, noting that iPhone revenue in the quarter that ended on June 27 was up 59 percent from the same period a year earlier.

Analysts had expected Apple to sell even more iPhones and were looking for a brighter forecast than was given for the current quarter.

Apple shares dropped more than six percent to $122.41 in after-market trades that followed release of the earnings figures.

Sales of iPhones have been powering Apple profits, and any hint of a plateau spooks investors.

Apple sold 47.5 million iPhones in the quarter, with sales up 85 percent in Greater China where the company's overall revenue more that doubled to $13 billion, accord to chief financial officer Luca Maestri.

- iPhone shines in China -

Big gains in China came despite stock market woes there.

"We remain extremely bullish on China and we are continuing to invest," Cook said, remaining confident that China is poised to be Apple's biggest market at some point in the future.

"We would be foolish to change our plans. I think China is a fantastic geography with an incredible, unprecedented level of opportunity."

He brushed aside any worry about iPhone sales growth, expressing confidence it has 'lots of legs' that it will be running with for many years to come given market factors such customer satisfaction rates and the booming overall global smartphone market.

"It is an incredible market," Cook said.

"I think everyone is going to own a smartphone, and we can compete for a fair number of them."

- Happy with Apple Watch -

Apple did not detail specifics on sales of its newly-launched smartwatch, instead folding the figure into an "other" category that rose 49 percent to $2.64 billion

Cook said during an earnings call that sales of iPhone, iPad, Apple Watch and Macintosh computers "topped internal expectations."

Nearly three months after the launch of Apple's fashionably smart wrist wear, some analysts say it's not a mainstream hit.

But others see promise in its popularity with Internet-savvy younger people.

A recent study by research firm Slice Intelligence suggested that, based on a large sampling of email receipts in the United States, orders for Apple Watch have plunged since the week that the wearable computing gadget made its debut.

The estimate did not factor in data about Apple Watch sales at real-world stores.

However, Cantor Fitzgerald experts believe Apple Watch will be a "go-to gift" during the year-end holiday season and become the best selling new product in Apple's history.

Apple Watch was the first new product line introduced by the culture-changing company behind iPhone, iPad, iPod, and Macintosh computers since 2010.

Global Equities Research managing director Trip Chowdhry has estimated Apple could sell 20 million to 25 million of the watches in the final three months of this year.

"We are convinced the watch is going to be one of the top gifts of the holiday season," Cook said, while fielding questions from analysts on the earnings call.

"I never go anywhere without the watch; not because I am the CEO but it's because I am attached to it. And, I know a lot of people who feel the same way."

He said Apple decided from the outset to remain mum about smartwatch shipments to avoid providing insights to competitors but that the company feels "really great" about sales and how it is position for the long-term.

"The investors may have gotten a little ahead of themselves," Forrester analyst Frank Gillett said of Apple profit soaring but shares dipping.

"Forget the Wall Street guys. This is an amazing performance."
Source: AFP

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today apple profit jumps but shares slip Arab Today, arab today apple profit jumps but shares slip


Arab Today, arab today
Arab Today, arab today Adidas Originals ‘reinterpreted’

GMT 14:52 2016 Thursday ,01 December

Adidas Originals ‘reinterpreted’
Arab Today, arab today At Milaidhoo Island, Maldives

GMT 08:42 2016 Wednesday ,07 December

At Milaidhoo Island, Maldives
Arab Today, arab today Paris's matchbox apartments

GMT 10:37 2016 Saturday ,24 September

Paris's matchbox apartments
Arab Today, arab today At least 50,000 Daesh fighters killed

GMT 07:57 2016 Friday ,09 December

At least 50,000 Daesh fighters killed
Arab Today, arab today 'Rookie' Trump must fall into line

GMT 08:02 2016 Tuesday ,06 December

'Rookie' Trump must fall into line

GMT 11:27 2016 Friday ,09 December

Tokyo extends gains on ECB but Asia traders cautious

GMT 10:05 2016 Friday ,09 December

Banks mull post-Brexit switch from London to Paris

GMT 11:30 2016 Thursday ,08 December

Sharjah Chamber’s Delegation visits 'I Mall'

GMT 10:09 2016 Thursday ,08 December

In UK's rust belt, Brexit rebellion here to stay

GMT 09:56 2016 Thursday ,08 December

Japan cuts GDP growth for third quarter

GMT 08:20 2016 Wednesday ,07 December

Trump boasts of $50bn investment at victory rally

GMT 09:23 2016 Tuesday ,06 December

HSBC's rainbow lion statues spark row in Hong Kong
View News in Arabic - Business: أخبار الأعمال
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today The summer school raising aspirations

GMT 12:49 2016 Tuesday ,06 December

The summer school raising aspirations
Arab Today, arab today Ryan Gosling, Emma Stone immortalized

GMT 12:31 2016 Thursday ,08 December

Ryan Gosling, Emma Stone immortalized
Arab Today, arab today Australia's Rinehart, China group

GMT 10:02 2016 Friday ,09 December

Australia's Rinehart, China group
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Hyundai allows Saudi journalists

GMT 15:14 2016 Thursday ,01 December

Hyundai allows Saudi journalists
Arab Today, arab today Latest Infiniti QX to compete

GMT 13:16 2016 Saturday ,26 November

Latest Infiniti QX to compete
Arab Today, arab today France bets on Bollywood

GMT 10:48 2016 Tuesday ,06 December

France bets on Bollywood
Arab Today, arab today Swiss unveil stratospheric solar plane

GMT 13:47 2016 Thursday ,08 December

Swiss unveil stratospheric solar plane

GMT 11:20 2016 Monday ,05 December

By glorifying Soviet WWII 'myth'

GMT 10:52 2016 Tuesday ,06 December

Vanessa Redgrave makes directing

GMT 04:15 2016 Thursday ,30 June

World's largest uncut diamond fails

GMT 11:39 2016 Tuesday ,06 December

Indonesia expands protection

GMT 15:59 2015 Wednesday ,27 May

Seoul elevates gardening to high art

GMT 12:39 2016 Saturday ,26 November

Skin patch could help kids

GMT 13:17 2016 Friday ,25 November

Ajman Tourism launches time capsule

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 09:53 2016 Sunday ,15 May

OMEGA official timekeepers
Arab Today, arab today
Arab Today, arab today
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube

Powered and Developed by FilmMatters

Copyright © 2016 Arabtoday

Developed by FilmMatters

© 2016 Arabtoday

arabtoday arabtoday arabtoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabtoday, Arabtoday, Arabtoday