Earnings After Hours -- Thursday -- May 4, 2023

Locator: 44560AAPL. 

NOG

EOG

USUAL DISCLAIMER APPLIES

AAPL

Shares after hours: up about 0.5%. Now, up about 2%. 

Beat on top and bottom.

• EPS: $1.52 vs $1.43 -- huge
• $94.84 billion vs $92.96 billion
• margins: 44.3% vs 44.1% -- the second biggest story
• iPhone: $51.33 billion vs $48.84 billion -- this is the big story. Ya gotta remember, "every" analyst suggested Apple might miss on iPhones
• for analysts: it's not "AAPL" - it's iFON
• services: doesn't beat expectations, but close, and about 5% higher than last year -- another big story
• $90 billion in dividends and share buybacks

Link here.

At MacRumors: link here.

At WSJ:

Apple reported its second straight quarter of declining sales as demand has waned for some of its products after reaching record levels during the pandemic.

The tech giant’s revenue for the three months ended April 1 was $94.8 billion, down 3% from the year-earlier period. Net income dropped 3% year-over-year to $24.2 billion. Apple exceeded analyst expectations, according to FactSet, of $92.9 billion in sales and $22.6 billion in net income.

This is the third time in a decade that the iPhone maker has posted back-to-back quarters of falling revenue. The Cupertino, Calif.-based company was hoping to exit from a difficult holiday season hampered by supply-chain disruptions and flagging consumer interest in its Mac computers and wearable devices.

IPhone sales grew about 1.5% to $51.3 billion, well ahead of the $48.7 billion analysts were expecting. Sales for Apple’s flagship product have surged as consumer demand continues to gravitate toward the company’s most-expensive phone, the iPhone 14 Pro Max, accounting for 24% of all iPhone sales, according to Consumer Intelligence Research Partners. The iPhone 14 Pro followed closely behind, with 22% of all sales for the quarter, the research firm found.

Premium iPhone Pro sales are crucial to Apple’s strategy in recent years of driving revenue growth while shipment growth has slowed. Demand for Pro models has helped elevate the average selling price of the iPhone to $988 in the January-through-March quarter from $802 in the same 2019 quarter, according to Consumer Intelligence Research Partners.

COMMENTS

Comments: I was watching CNBC live as the numbers were being reported. CNBC anchors / analysts were cool, calm, and collected -- either flat or perhaps a bit negative.

For me, the numbers crushed expectations but I am very, very biased.

Most important number: margins.

And that's where EVs will be crushed. 

AAPL stock has been up 28% for this year to date.