Apple Reports 4Q 2023 Results: $23B Profit on $89.5B Revenue

[MacRumors]

Apple today announced financial results for the fourth fiscal quarter of 2023, which corresponds to the third calendar quarter of the year.

For the quarter, Apple posted revenue of $89.5 billion and net quarterly profit of $23.0 billion, or $1.46 per diluted share, compared to revenue of $90.1 billion and net quarterly profit of $20.7 billion, or $1.29 per diluted share, in the year-ago quarter.

Gross margin for the quarter was 45.2 percent, compared to 42.3 percent in the year-ago quarter. Apple also declared a quarterly dividend payment of $0.24 per share, payable on November 16 to shareholders of record as of November 13.

For the full fiscal year, Apple recorded $383.3 billion in sales and $97.0 billion in net income, down slightly from $394.3 billion in sales and $99.8 billion in net income for fiscal 2022.

"Today Apple is pleased to report a September quarter revenue record for iPhone and an all-time revenue record in Services," said Tim Cook, Apple's CEO. "We now have our strongest lineup of products ever heading into the holiday season, including the iPhone 15 lineup and our first carbon neutral Apple Watch models, a major milestone in our efforts to make all Apple products carbon neutral by 2030."

As has been the case for over three years now, Apple is once again not issuing guidance for the current quarter ending in December.

Apple will provide live streaming of its fiscal Q4 2023 financial results conference call at 2:00 pm Pacific, and MacRumors will update this story with coverage of the conference call highlights.

Conference call recap ahead...

Click here to read rest of article...

Article Link: Apple Reports 4Q 2023 Results: $23B Profit on $89.5B Revenue

 

[Realityck]

Expected good results this last quarter compared to previous year.

Apple stock dips after weak outlook for December quarter revenue

Apple reported earnings after the bell. Here are the results.

www.cnbc.com

Apple now has $162 billion in cash on hand, slightly less than last quarter

Here's how much money Apple has in its cash pile.

www.cnbc.com

KEY POINTS

• Apple now has $162.1 billion in cash on hand, which is less than the $166.5 billion it had last quarter.
• The company regularly maintains one of the largest cash piles in the U.S.
• Apple reported fourth-fiscal quarter earnings on Thursday that beat analyst expectations for sales and earnings per share, but revealed that overall sales fell for the fourth quarter in a row.

Here’s how Apple did, versus LSEG (formerly Refinitiv) consensus expectations:

• EPS: $1.46 per share, versus $1.39 per share expected
• Revenue: $89.50 billion, versus $89.28 billion expected
• iPhone revenue: $43.81 billion, versus $43.81 billion expected
• Mac revenue: $7.61 billion versus $8.63 billion expected
• iPad revenue: $6.44 billion, versus $6.07 billion expected
• Wearables revenue: $9.32 billion, versus $9.43 billion expected
• Services revenue: $22.31 billion, versus $21.35 billion expected
• Gross margin: 45.2% versus 44.5% expected

 

[CIA]

After hours stock fall. Typical.

 

[Makayla]

Higher margin?

 

[haydn!]

Fourth conseuctive quarterly decline? Some will argue it's because the product line-up is a bit of a mess. Others will argue its simply a reflection of the global economy.

I suspect its a bit of both. But Apple will never admit the first.

 

[DHagan4755]

This earnings report is still the ripple effect from the pandemic & the current state of the economy. A lot of people upgraded their Macs & iPads for work from home. They should be coming out of this lull in 2024.

 

[scrapesleon]

After wallstreet lowered guidance this week still unimpressed

 

[supergt]

So that explains the very odd M3 pre Halloween "event".

 

[Todd Fisher]

Profits are outstanding! So lets go ahead and raise fees on our digital services 🥳

Thanks Apple!

 

[Ghost31]

Fourth conseuctive quarterly decline? Some will argue it's because the product line-up is a bit of a mess. Others will argue its simply a reflection of the global economy.

I suspect its a bit of both. But Apple will never admit the first.

I’m pretty tech savvy and even I was a little confused trying to shop for an iPad for my wife and explaining the differences

 

[deaglecat]

Its been obvious for a while that Apple is prioritising margin.

Example the (...and you really should not buy it) 8Gb base model on Macbook pros in 2023.

Upsell FTW... but at what cost to its customers ?

 

[Realityck]

Per CNBC
====
Apple’s Mac and iPad businesses both suffered during the quarter. Maestri, Apple’s CFO, had warned on a call with analysts after third-quarter results that iPad and Mac sales would fall by double-digit percentages.

Mac sales came in below Wall Street expectations, falling nearly 34% on an annual basis. Apple held an unusual nighttime launch event for its new MacBook Pro laptops and iMac desktop last month. While sales of the new devices aren’t included in the quarter, Apple was signaling that new products could boost sales once again thanks to its new M3 chips.

Cook told CNBC that the Mac comparison is to “an all-time record” fourth quarter, which followed a huge supply disruption and pushed what would have been third-quarter sales into the last quarter of 2022. “So, the comparison point here is very difficult,” he said.

“I think the Mac is going to have a significantly better quarter in the December quarter. We’ve got the M3, we’ve got the new products, and we don’t have the compare phenomenon on a year-over-year basis,” Cook said, referring to an unusually strong market for Macs in 2022.

Cook said that that overall market for personal computers is “challenging.”

Revenue from iPads was also down big, declining 10% from the same period last year. Apple did not announce new products ahead of the holiday season this year.
====
Probably Mac sales impacted because a lot of consumers were hesitating based on M3 rumors of them coming soon during this last quarter

 

[Spaceboi Scaphandre]

Mac making more revenue than iPad quarter after quarter speaks volumes of the problems with the iPad lineup, from how awful iPadOS is, to how confusing the entire iPad lineup is.

Aside from the vanilla iPad, there's absolutely no reason to get the more higher end iPads over a Mac. Guts of a Mac, but does a lot less than a Mac, and is more expensive than a Mac. And if the rumors of a lower cost Macbook that's under $700 are real, then the iPad redundancy problem is only gonna get even worse.

 

[DelayedGratificationGene]

Services up 16.5% and that’s a 71% margin business. Apple really is a services company now. Amazing.

 

[Mac Fly (film)]

Give MBA SD Card and HDMI to make the machine more usable in real world settings; chip-wise, figure out how to give M-Pro and M-Max MBP models more than 12 hrs wireless web battery life, lower the price of the Macs; release a proper iMac already; get with the program and fix AAA Mac gaming situation (and turn Apple TV into a real AAA game machine for the living room capable of playing those same games). That will increase Mac sales to healthy numbers.

And I’d suggest MBA has the wrong screen sizes for a thin machine. Make them 12.9” and 14.2” instead. 16:10 aspect ratio for both, not 16:9 like the prior tiny MBA. MacOS has a menu bar and a dock and needs to have a taller aspect on small screens.

 

[Isengardtom]

Mac making more revenue than iPad quarter after quarter speaks volumes of the problems with the iPad lineup, from how awful iPadOS is, to how confusing the entire iPad lineup is.

Aside from the vanilla iPad, there's absolutely no reason to get the more higher end iPads over a Mac. Guts of a Mac, but does a lot less than a Mac, and is more expensive than a Mac. And if the rumors of a lower cost Macbook that's under $700 are real, then the iPad redundancy problem is only gonna get even worse.

Makes sense as there has been 0 iPad updates
In a quarter where there are new iPads they will outsell macs

Also macs are generally more expensive so In pure volumes there are probably more iPads sold than macs

With the App Store / services linked I’m pretty sure Apple makes more money on iPads than on macs

 

[baculum]

Apple today announced financial results for the fourth fiscal quarter of 2023, which corresponds to the third calendar quarter of the year.

For the quarter, Apple posted revenue of $89.5 billion and net quarterly profit of $23.0 billion, or $1.46 per diluted share, compared to revenue of $90.1 billion and net quarterly profit of $20.7 billion, or $1.29 per diluted share, in the year-ago quarter.

Gross margin for the quarter was 45.2 percent, compared to 42.3 percent in the year-ago quarter. Apple also declared a quarterly dividend payment of $0.24 per share, payable on November 16 to shareholders of record as of November 13.

For the full fiscal year, Apple recorded $383.3 billion in sales and $97.0 billion in net income, down slightly from $394.3 billion in sales and $99.8 billion in net income for fiscal 2022.As has been the case for over three years now, Apple is once again not issuing guidance for the current quarter ending in December.

Apple will provide live streaming of its fiscal Q4 2023 financial results conference call at 2:00 pm Pacific, and MacRumors will update this story with coverage of the conference call highlights.

Conference call starts at 2:00 p.m. Pacific - No need to refresh

​

Visit article to see live updates



Article Link: Apple Reports 4Q 2023 Results: $23B Profit on $89.5B Revenue

Margins are up because of insane dollar strength. FX is also dramatically depressing income on foreign sales. Until US economy starts showing more signs of economic weakening this headwind won't change. But when it does, expect 5-10% increased profits on foreign revenues.

 

[steve09090]

Profits are outstanding! So lets go ahead and raise fees on our digital services 🥳

Thanks Apple!

I had a YouTube Premium Increase over night. Thanks Google!
I'm expecting my Netflix increase shortly. Thanks Netflix!
My Internet connection is about to increase. Thanks ISP!

 

[sw1tcher]

For the quarter, Apple posted revenue of $89.5 billion and net quarterly profit of $23.0 billion, or $1.46 per diluted share, compared to revenue of $90.1 billion and net quarterly profit of $20.7 billion, or $1.29 per diluted share, in the year-ago quarter.

For the full fiscal year, Apple recorded $383.3 billion in sales and $97.0 billion in net income, down slightly from $394.3 billion in sales and $99.8 billion in net income for fiscal 2022.

So another quarter of declining sales year-over-year. And a decline in revenue and net income vs prior FY.

AAPL to $500!!! 🚀 🚀 🚀 💎 🙌

 

[jrath1]

Looking at the charts, iPod sales really fell off.

 

[webkit]

Profits are outstanding! So lets go ahead and raise fees on our digital services 🥳

Thanks Apple!

It doesn't necessarily matter how profitable the company is overall. The financials of each product/service should be evaluated independently. If Apple TV+ is losing money, for example, a subscription price increase can be justified regardless of how profitable iPhones, the App Store, or other things may be for the company.

 

[t0rqx]

Those bug software updates causing green hues, burn in screens etc did make services revenue a good deal.

 

[6787872]

dollar for dollar, nobody will shaft you like timmy.

 

[ghanwani]

I probably need to create a newer version of my poll.

How long will it take for Apple to reach a market cap of $10T?

Apple's market cap is now close to $2T. How long will it take to get to $10T? Keep in mind that the fed is in "whatever it takes" mode until the economy "recovers", and that, right now, is being put at around 2024. (Keeping the poll simple and uncomplicated, just like everything Apple does.)

forums.macrumors.com

Was expecting Apple to hit $10T in market cap by now.

How much debt do they have and what is the cost of servicing that debt now?

 

[Hkfan45]

Apple software is a mess. Hardware is fine. Apple needs a revolutionary revision to iOS and iPadOS. It’s becoming less and less workable for business/power users.