Apple rang up record quarterly results from — what else? — iPhone sales.
The company added that Apple Watch will start shipping in April.
Apple’s first-quarter revenue of $74.6 billion and earnings per share of $3.06 easily surpassed analyst estimates of $67.7 billion and $2.60 for the three-month period ended Dec. 31. Its profit was a record $18 billion.
Apple’s blow-out quarter surprised even analysts, who expected a whopper during the traditionally strong holiday shopping season, and sent the company’s stock soaring.
In extended trading, Apple shares were up 5%, to $114.74. (Apple announced its first-quarter results after the close of markets.) Meanwhile, the Dow plunged 291 points because of other weak earnings reports.
“They closed the feature gap — namely the lack of a large screen (with iPhone 6 Plus) — and, as a result. they blew the doors off for revenue and earnings,” says Van Baker, mobile analyst at Gartner.
The record sales highlight the wild — and continued — popularity of the iPhone 6 and larger-screen iPhone 6 Plus. Apple sold a whopping 74.5 million iPhones during the quarter, a vast majority of them the latest models. Demand in China led the way.
A Fortune panel of 30 Apple analysts expected iPhone sales of 66.5 million, up 30% from the same quarter a year ago.
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SOURCE: USA Today | Jon Swartz