iPhone Sales and Subscriptions Drive Growth in Emerging Markets
- Apple’s revenues dropped 1% year-on-year to $81.8bn
- Gross margin increased to $36.4bn from $35.9bn last year
- Americas net sales down to $35.4bn, Europe up to $20.2bn
- Greater China net sales up to $15.8bn
- Quarterly earnings per diluted share increased by 5% to $1.26
- Record revenue in Services sector with over 1 billion paid subscriptions
- CEO Tim Cook: ‘continued strength in emerging markets and all-time high active devices’
- CFO Luca Maestri: ‘strong operating cash flow, shareholder returns, and long-term growth plans’
Apple has reported a 1% year-on-year drop in revenues to $81.8bn for Q3, with the Americas being its largest market at $35.4bn, followed by Europe at $20.2bn and Greater China at $15.8bn. Despite this, the company achieved an all-time record revenue in its services sector, driven by over one billion paid subscriptions. iPhone sales contributed to continued strength in emerging markets, while active devices reached an all-time high across all geographic segments. The gross margin increased to $36.4bn from $35.9bn last year. Apple’s board of directors declared a cash dividend of $0.24 per share of the company’s common stock.
Factuality Level: 10
Factuality Justification: The article provides accurate and objective information about Apple’s financial performance, including revenue, gross margin, net sales by region, earnings per diluted share, and the increase in services sector revenue. It also includes quotes from Tim Cook and Luca Maestri that support the reported data.
Noise Level: 3
Noise Justification: The article provides relevant information about Apple’s financial performance and highlights its record revenue in the services sector and strong operating cash flow. It also mentions the increase in earnings per diluted share and the all-time high installed base of active devices. However, it lacks deep analysis or exploration of long-term trends or consequences of decisions. The article does not hold powerful people accountable nor provides actionable insights for readers.
Financial Relevance: Yes
Financial Markets Impacted: Apple’s stock price may be impacted by the revenue drop and increased earnings per diluted share.
Financial Rating Justification: The article discusses Apple’s financial performance, including changes in revenues, gross margin, and earnings per diluted share. This information is relevant to investors and can potentially affect the company’s stock price in financial markets.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the last 48 hours.
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