CUPERTINO, Calif. Friday, May 3, 2024- Apple Inc. surpassed Wall Street expectations for its fiscal second-quarter earnings on Thursday, May 2, despite a 10% year-over-year decline in iPhone sales. 1
The tech giant reported revenue of $90.8 billion, exceeding analyst estimates of $90.3 billion. Earnings per share (EPS) also came in higher than anticipated at $1.53, compared to the projected $1.50.
Despite a 10% decline in overall iPhone sales year over year, the company performed better than anticipated in China. Notably, CEO Tim Cook announced a significant $110 billion stock buyback, the largest in Apple’s history, alongside plans to increase its quarterly dividend. This announcement led to a 6% surge in share prices after hours.
However, iPhone sales, which remain Apple’s primary revenue driver, fell to $45.96 billion from $51.33 billion in the same quarter last year.
This decline was attributed in part to an 8% drop in revenue from Greater China, a key market for Apple.
Despite the dip in iPhone sales, investors reacted positively to the overall earnings report.
Apple’s stock price rose in after-hours trading, reflecting the company’s ability to exceed expectations even with a decline in its flagship product.
