Apple Q2 Results Beat Street View On Strong IPhone, IPad Sales; Authorizes $90 Bln Share Buyback

Shares of Apple Inc. (AAPL) gained over 4% in extended session Wednesday after the tech giant reported a second-quarter profit that doubled from last year, driven by strong sales of iPhones, Macs and iPads. Both earnings and revenues for the quarter trumped Wall Street analysts’ estimates. The company also announced a $90 billion share buyback.

Apple’s second-quarter profit more than doubled to $23.63 billion or $1.40 per share from $11.25 billion or $0.64 per share last year. On average, 29 analysts polled by Thomson Reuters expected earnings of $0.99 per share for the quarter.

Apple’s revenues surged 54% to $89.58 billion from last year’s $58.31 billion. Analysts had a consensus revenues forecast of $77.35 billion.

Apple’s revenues from iPhones rose to $47.94 billion from $28.96 billion last year. Mac sales increased to $9.10 billion from $5.35 billion last year, and iPad sales gained to $7.81 billion from $4.37 billion last year. Wearables, Home and Accessories segment improved to $7.84 billion from $6.28 billion last year, while services revenues increased to $16.90 billion from $13.35 billion a year ago.

“We are proud of our March quarter performance, which included revenue records in each of our geographic segments and strong double-digit growth in each of our product categories, driving our installed base of active devices to an all-time high,” said Luca Maestri, Apple’s CFO.

Apple’s has also declared a cash dividend of $0.22 per share, an increase of 7% from previous quarter, payable on May 13, 2021 to shareholders of record on May 10, 2021. The board has also authorized an increase of $90 billion to the existing share repurchase program.

AAPL closed Wednesday’s trading at $133.58, down $0.81 or 0.60%, on the Nasdaq. The stock, however, gained over $5.76 or 4.31%, in the after-hours trade.

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