- Apple (NASDAQ:AAPL) is off 1.8% after posting a fiscal Q2 report where investors' eyes were thought to be looking past numbers toward a dividend hike and any information about a fall iPhone refresh, though the company missed on revenues and iPhone shipment expectations.
- In updating its capital allocation, the company boosted its dividend 10.5% and added $35B to its buyback authorization.
- Revenue by product lines: iPhone, $33.25B (up 1%); iPad, $3.9B (down 12%); Mac, $5.84B (up 14%). Services revenue (iTunes, App Store, Apple Music, AppleCare, Apple Pay) $7.04B (up 18%); Other products (Apple Watch, Apple TV, Beats, iPod) $2.87B (up 31%).
- Revenue by region: Americas, $21.16B (up 11%); Europe, $12.7B (up 10%); Greater China, $10.73B (down 14%); Japan, $4.49B (up 5%); Rest of AP, $3.8B (up 20%).
- Financials: The overall capital return program gets a $50B boost and has its timeline extended by four quarters. The company plans to spend $300B by the end of March 2019 in the expanded program. Buyback authorization goes to $210B from $175B; dividend up 10.5% to $0.63/share.
- It's guiding to Q3 revenue of $43.5B-$45.5B (vs. consensus for $45.59B); gross margin of 37.5-38.5%; opex of $6.6B-$6.7B; other income of $450M; and a tax rate of 25.5%.
- Conference call to come at 5 p.m. ET.
- Now read: Apple: Will China Pick Up The Pace?
Original article