Talking New Media

Apple pleases Wall Street with big final quarter of fiscal 2017

‘We’re happy to report a very strong finish to a great fiscal 2017, with record fourth quarter revenue, year-over-year growth for all our product categories’

The CEO of Apple must have known the numbers would be OK in Q4 of the company’s fiscal 2017 year, while others worried that the iPhone X would steal away sales. It turned out the way Tim Cook promised as iPhone sales came in just fine, up 3 percent despite the iPhone X slipping into the next quarter.

In fact, sales were good across all lines at Apple, with even the iPad scoring an 11 percent increase in unit sales.

The results were a pleasant surprise to investor, who drove up Apple’s stock in after hours trading. Apple market cap now tops $900 billion. (Imagine if they could fix Siri and iTunes, the company would zip right past the $1 trillion mark in no time.)

As Apple has pretty much destroyed the market for digital editions, it doesn’t make much sense to cover Apple the way this site did in the past. But most publishers are still reliant on the Mac platform, and many own iOS devices, so here is the earnings report for the fourth quarter of Apple’s fiscal year:

Cupertino, California —November 2, 2017 — Apple today announced financial results for its fiscal 2017 fourth quarter ended September 30, 2017. The Company posted quarterly revenue of $52.6 billion, an increase of 12 percent from the year-ago quarter, and quarterly earnings per diluted share of $2.07, up 24 percent. International sales accounted for 62 percent of the quarter’s revenue.

“We’re happy to report a very strong finish to a great fiscal 2017, with record fourth quarter revenue, year-over-year growth for all our product categories, and our best quarter ever for Services,” said Tim Cook, Apple’s CEO. “With fantastic new products including iPhone 8 and iPhone 8 Plus, Apple Watch Series 3, and Apple TV 4K joining our product lineup, we’re looking forward to a great holiday season, and with the launch of iPhone X getting underway right now, we couldn’t be more excited as we begin to deliver our vision for the future with this stunning device.”

“Apple’s year-over-year revenue growth rate accelerated for the fourth consecutive quarter and drove EPS growth of 24 percent in the September quarter,” said Luca Maestri, Apple’s CFO. “We also generated strong operating cash flow of $15.7 billion and returned $11 billion to investors through our capital return program.”

Apple is providing the following guidance for its fiscal 2018 first quarter:

  • revenue between $84 billion and $87 billion
  • gross margin between 38 percent and 38.5 percent
  • operating expenses between $7.65 billion and $7.75 billion
  • other income/(expense) of $600 million
  • tax rate of 25.5 percent

Apple’s board of directors has declared a cash dividend of $0.63 per share of the Company’s common stock. The dividend is payable on November 16, 2017 to shareholders of record as of the close of business on November 13, 2017.