CUPERTINO, Calif. Friday, August 02, 2024- Apple’s earnings surpassed analysts’ expectations in its third quarter Q3 earnings report released Thursday (August 01), despite experiencing a year-over-year decline in iPhone sales.
Apple’s Condensed consolidated statements of operations (unaudited) can be seen here.
The tech giant reported earnings per share (EPS) of $1.40 on revenue of $85.5 billion, exceeding the anticipated EPS of $1.35 and revenue of $84.4 billion, according to compiled estimates.
The company’s revenue from Greater China, one of Apple’s most significant markets, was a key area of interest.
However, Apple fell short of expectations in the region, reporting $14.7 billion in revenue, below the $15.2 billion analysts had forecasted and down from $15.7 billion in the same quarter last year.
Despite the miss, Apple CFO Luca Maestri noted an improvement in sales in the region, with record upgrades and better performance compared to the first half of the year.
Overall iPhone sales reached $39.2 billion, slightly below the $39.6 billion recorded in Q3 2023 but surpassing the $38.9 billion analysts had projected.
Apple’s services segment, which includes offerings like iCloud and Apple Music, generated $24.2 billion in revenue, beating the expected $23.9 billion.
The company also reported strong performance in its iPad segment, with sales reaching $7.1 billion, above the anticipated $6.6 billion, driven by the new iPad Pro line.
Meanwhile, Mac revenue rose to $7 billion, exceeding last year’s $6.8 billion.
However, wearables, including products like the Apple Watch, saw a decline, with sales dropping to $8 billion from $8.2 billion in the previous year.
Apple’s share price has risen 18.6% year-to-date, partially bolstered by the positive response to its Worldwide Developer Conference in May, where it showcased its upcoming Apple Intelligence software.
See also Apple’s Report.
