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Apple reports its Q1 earnings today


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Posted

Apple is set to report its earnings results for the first quarter of its 2019 fiscal year at 1:30 p.m. Pacific Time today. 

The quarter began September 30, 2018 and ran through December 29, 2018, according to Apple's fiscal year accounting calendar. 

Apple issued a rare earnings warning for the quarter on January 2, its first in over 16 years. The revised guidance is as follows:

  • revenue of approximately $84 billion
  • gross margin of approximately 38 percent
  • op. ex. of approximately $8.7 billion
  • other income/expense of approximately $550 million
  • tax rate of approximately 16.5 percent before discrete items

Apple's initial guidance for the quarter on November 1:

  • revenue between $89 billion and $93 billion
  • gross margin between 38 percent and 38.5 percent
  • op. ex. between $8.7 billion and $8.8 billion
  • other income/expense of $300 million
  • tax rate of approximately 16.5 percent before discrete items

Apple's guidance suggests it will report its second-best first quarter results ever, based on revenue, behind its 2018 record of $88.3 billion: 

  • 2015: $74.6 billion
  • 2016: $75.9 billion
  • 2017: $78.4 billion
  • 2018: $88.3 billion
  • 2019: $84 billion

What to Look For

  • Apple's revised guidance suggests it will report its first holiday quarter sales decline since 2001, although it would still be the company's second-best quarter ever in terms of revenue.
  • This is Apple's first earnings report in which it will not disclose iPhone, iPad, or Mac unit sales, a change it announced back on November 1. Apple's financial chief Luca Maestri said Apple may provide qualitative commentary about sales if necessary, so it will be interesting to see how the conference call and question-and-answer session play out.
  • In a letter to shareholders on January 2, Apple CEO Tim Cook disclosed that Apple's revenue will be lower than its original guidance for the quarter, coming in at approximately $84 billion. Apple initially guided for revenue of $89 billion to $93 billion in the quarter on November 1. Look for any potential commentary surrounding the shortfall.
  • Apple's guidance for its second quarter of fiscal 2019, which began December 30 and so far only encompasses the launch of new Smart Battery Cases for the iPhone XS, iPhone XS Max, and iPhone XR. It could eventually include new iPads, a new iPod touch, new AirPods, the AirPower, more. Analysts expect revenue of around $58.9 billion in the second quarter, compared to $61.1 billion in the year-ago quarter.
  • Continued growth of Apple's Services category, including the App Store, Apple Music, iCloud, iTunes, Apple Pay, and AppleCare. Last quarter, Apple's services brought in a record $9.9 billion revenue. Apple has said it is still on target to double its fiscal 2016 services revenue by fiscal 2020. Analysts expect services revenue of around $11 billion in the quarter.
  • Continued growth of Apple's Wearable, Home, and Accessories category, previously named Other Products, including the Apple Watch, Apple TV, HomePod, AirPods, Beats, iPod touch, and accessories—particularly as Apple diversifies revenue beyond the iPhone.

Apple's CEO Tim Cook and CFO Luca Maestri will discuss the company's earnings results on a conference call at 2:00 p.m. Pacific Time today. 

 

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Posted

Unless Apple discovered an extra $5 billion since Jan 2., this will be the first holiday sales decline for Apple since 2001.

Posted
4 minutes ago, Ecommerce said:

Time to re-enter annamata

ezgif-231807171.gif?1437556466

Posted
55 minutes ago, Ecommerce said:

Time to re-enter annamata

wait bro - just ee okka stock earnings tho market antha crash ayyindhi ee roju.

apple kanuka thaggithe, chip stocks anni fasaak !! 

Posted
Just now, sonybravia said:

wait bro - just ee okka stock earnings tho market antha crash ayyindhi ee roju.

apple kanuka thaggithe, chip stocks anni fasaak !! 

100% agreed...Brother

US market dourbagyam enti ante last 5-6yrs adduadupu lekunda perugutunai faang stocks and related chip stock aninuu..time to repay those now.

See IBM & MSFT ,study sustainability for long ekevalaki baguntadi.

 

Posted

repu undi aslinaa maza..... Apple BA earning  Fed meeting  gdp report, adp nonfarm report vamooo...repu wither market will crash or skyrocket...and day after that will be one more huge day...

Posted
6 minutes ago, macha said:

I think earning is already priced in with jan2nd news ...

ya, already apple hinted low expectations ani - but don't know how the big shots will twist today's earnings :( 

Posted
14 minutes ago, shaw183 said:

100% agreed...Brother

US market dourbagyam enti ante last 5-6yrs adduadupu lekunda perugutunai faang stocks and related chip stock aninuu..time to repay those now.

See IBM & MSFT ,study sustainability for long ekevalaki baguntadi.

 

MSFT -> will sustain for long. 

IBM -> technology wise konchem slow ayyaadu, but govt backing super ga undhi.

Posted
3 minutes ago, sonybravia said:

IBM

their earning beat expectations due to their investments and interest in blockchain and new technologies. So they are able to get out of the drain this time

Posted
3 minutes ago, tacobell fan said:

their earning beat expectations due to their investments and interest in blockchain and new technologies. So they are able to get out of the drain this time

any suggestions on MDB (PUT) options ?

89$ undhi ipudu, oka $85 ki put pedadhamani undhi ?

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