Apple Q2 earnings: iPhone sales down 10%, $110 billion stock buyback announced

full version at invezz

Apple Inc (NASDAQ: AAPL) is trading up in extended hours on Thursday after coming in ahead of Street estimates for its fiscal second quarter.

iPhone revenue fell short of expectations

The stock is gaining even though iPhone did not do all that well in Q2.

The flagship handset generated $45.96 billion in revenue in the recently concluded quarter (down 10% year-over-year) versus analysts at $46 billion. Tim Cook – the chief executive of Apple Inc said in a press release today:

We are focused on providing the very best products and services for our customers, and doing so while living up to the core values that drive us.

At $23.90 billion, services revenue topped the consensus at $23.27 billion as well. $AAPL is now down close to 13% versus its year-to-date high.

Apple Q2 earnings snapshot

Earned $23.64 billion versus the year-ago $24.16 billion

Per-share earnings also declined from to $1.53

Revenue inched down 4.0% to $90.75 billion as per the earnings report

Consensus was $1.50 a share on $90.01 billion in revenue

Apple Inc saw its gross margin come in at 46.6% for the first quarter – in line with estimates. Luca Maestri – its chief of finance said today:

Our active installed base of devices has reached a new all-time high across all products and all geographic segments.

What else was noteworthy in $AAPL earnings release

Mac revenue printed at $7.50 billion versus $6.86 billion expected

iPad revenue came in at $5.60 billion versus $5.91 billion expected

Other products generated billion in $7.90 sales versus $8.08 bill expected

Apple will likely offer guidance for its current quarter on the conference call that you can tune into on this link. Its chief executive also said on Thursday: