Apple Is Dialed In, Posts Record Quarter On Strong iPhone Sales Ahead Of iPhone 6 Launch
Even with all the iPhone 6 rumors floating around the web, Apple managed to sell over 35 million existing iPhone devices during its fiscal 2014 third quarter ended June 28, 2014, the company reported. That translates into $19.7 billion in iPhone revenue, and a record $37.4 billion in overall revenue after accounting for Apple's other products and services. Apple's never posted a more lucrative June quarter than this one.
Net profit totaled $7.7 billion, or $1.28 per diluted share. Given the strong performance, Apple's board of directors declared a cash dividend of $0.47 per share of the company's common stock, which shareholders will receive on August 14, 2014.
"Our record June quarter revenue was fueled by strong sales of iPhone and Mac and the continued growth of revenue from the Apple ecosystem, driving our highest EPS growth rate in seven quarters," said Tim Cook, Apple’s CEO. "We are incredibly excited about the upcoming releases of iOS 8 and OS X Yosemite, as well as other new products and services that we can’t wait to introduce."
It's all about the iPhone, by far Apple's biggest revenue generator, especially as iPad sales continue to soften. Apple sold 13.2 million iPad devices during the quarter, down 19 percent sequentially and 9 percent year-over-year. It's also worth noting that Apple's iPhone sales dipped 19 percent sequentially from the 43.7 million handsets it sold in Q2, though sales are up 13 percent from the same quarter a year ago when Apple sold 31.2 million iPhone devices.
Apple's stock remained flat as investors figure out how to react. Sales fell short of expectations, yet Apple's profit was better than expected. However, with the iPhone 6 launch around the corner and rumors of two models with bigger size displays, Apple could end the year with a roar, which is probably why investors aren't overreacting to the sales shortfall this time around.
Net profit totaled $7.7 billion, or $1.28 per diluted share. Given the strong performance, Apple's board of directors declared a cash dividend of $0.47 per share of the company's common stock, which shareholders will receive on August 14, 2014.
"Our record June quarter revenue was fueled by strong sales of iPhone and Mac and the continued growth of revenue from the Apple ecosystem, driving our highest EPS growth rate in seven quarters," said Tim Cook, Apple’s CEO. "We are incredibly excited about the upcoming releases of iOS 8 and OS X Yosemite, as well as other new products and services that we can’t wait to introduce."
It's all about the iPhone, by far Apple's biggest revenue generator, especially as iPad sales continue to soften. Apple sold 13.2 million iPad devices during the quarter, down 19 percent sequentially and 9 percent year-over-year. It's also worth noting that Apple's iPhone sales dipped 19 percent sequentially from the 43.7 million handsets it sold in Q2, though sales are up 13 percent from the same quarter a year ago when Apple sold 31.2 million iPhone devices.
Apple's stock remained flat as investors figure out how to react. Sales fell short of expectations, yet Apple's profit was better than expected. However, with the iPhone 6 launch around the corner and rumors of two models with bigger size displays, Apple could end the year with a roar, which is probably why investors aren't overreacting to the sales shortfall this time around.
