Apple forecast revenue that exceeded market expectations, despite warning that chip supply constraints will likely continue. As a result, the company’s shares gained more than 3%.
Executives said Apple expects sales growth of 14% to 17% in the fiscal third quarter. Additionally, the guidance came in above Wall Street forecasts of 9.5% growth to $102.93 billion, according to LSEG data.
Apple also posted stronger-than-expected results for the fiscal second quarter ended March 28. Revenue reached $111.18 billion, while earnings came in at $2.01 per share. Moreover, both figures exceeded analyst estimates of $109.66 billion and $1.95 per share.
Product Sales Performance
iPhone revenue totaled $56.99 billion during the quarter. However, the figure came slightly below expectations of $57.21 billion, following the most significant product lineup revamp since the iPhone X launch in 2017.
Mac sales reached $8.4 billion, exceeding forecasts of $8.02 billion. Additionally, iPad revenue climbed to $6.91 billion, above estimates of $6.66 billion.
Wearables revenue, including Apple Watch, rose to $7.9 billion. Moreover, the segment outperformed expectations of $7.7 billion.
Regional Growth and Capital Returns
Greater China sales rose to $20.5 billion, beating analyst estimates of $19.45 billion, according to Visible Alpha data. Meanwhile, investors continue to track the company’s plans to enhance Siri using Google technology.
Apple also expanded its capital return programme, with its board authorising an additional $100 billion in share buybacks. Therefore, the repurchase allocation remained unchanged from the level announced a year earlier.
