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Apple today announced financial results for the first fiscal quarter of 2016, which corresponds to the fourth calendar quarter of 2015. For the quarter, Apple posted revenue of $75.9 billion and net quarterly profit of $18.4 billion, or $3.28 per diluted share, compared to revenue of $74.6 billion and net quarterly profit of $18 billion, or $3.06 per diluted share, in the year-ago quarter. Both revenue and earnings were company records.

Gross margin for the quarter was 40.1 percent compared to 39.9 percent in the year-ago quarter, with international sales accounting for 66 percent of revenue. Apple also declared an upcoming dividend payment of $0.52 per share, payable on February 11 to shareholders of record as of February 8. The company currently holds $215.7 billion in cash and marketable securities, partially offset by $53.2 billion in long-term debt.

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Apple sold a record 74.8 million iPhones during the quarter, up slightly from 74.5 million a year earlier, while Mac sales were down slightly to 5.3 million units sold from 5.5 million units in the year-ago quarter. iPad sales were also down once again, falling to 16.1 million from 21.4 million despite the introduction of the iPad Pro during the quarter.
"Our team delivered Apple's biggest quarter ever, thanks to the world's most innovative products and all-time record sales of iPhone, Apple Watch and Apple TV," said Tim Cook, Apple's CEO. "The growth of our Services business accelerated during the quarter to produce record results, and our installed base recently crossed a major milestone of one billion active devices."
Apple's guidance for the second quarter of fiscal 2016 includes expected revenue of $50-53 billion and gross margin between 39 and 39.5 percent. Revenue guidance is slightly below analyst expectations.

In supplemental materials, Apple explains that currency headwinds have cost the company 15 percent in earnings over the past 18 months. Using "constant currency" measures, Apple's revenue for the holiday quarter would have been $80.8 billion for an 8 percent increase year-over-year.

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Apple will provide live streaming of its fiscal Q1 2016 financial results conference call at 2:00 PM Pacific, and MacRumors will update this story with coverage of the conference call highlights.

Conference Call and Q&A Highlights are available in reverse chronological order after the jump.

Click here to read rest of article...

Article Link: Apple Reports Record Results: $18.4B Profit on $75.9B in Revenue for Q1 2016 on 74.8M iPhones
 

mcarling

macrumors 65816
Oct 22, 2009
1,292
180
The article has revenue and profits reversed.

From 74.5 million to 75.8 million is less than a 0.5% increase -- essentially zero growth. Not updating the phone-sized iPhones for 2.5 years was huge mistake. Not everyone wants a phablet-sized iPhone. I predict that iPhone sales will return to growth when Apple introduce an up-to-date 4" iPhone.
 
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zahuh

macrumors regular
Oct 22, 2004
214
1,379
Can someone educate me a bit... is the iPhone "next" program that's on every carrier and Apple is selling the iPhone this way as well going to be a giant growth generator for Apple? I would normally buy an iPhone every 2 years and now I'm getting one every year. Will we see the benefits next year and beyond?
 
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Junior117

macrumors 6502
Apr 9, 2015
312
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Toronto, Canada
While iPhone sales aren't "down" (and I'm extremely happy about that), it's not "77 Million" (and I know that shareholders (and ESPECIALLY Android fanboys) are going to end up saying Apple's still doomed.)

Also, the fact that everything else is either still down or they're "so-so" does worry me a little.
 

Carnegie

macrumors 6502a
May 24, 2012
823
1,956
With the unit number for iPhones being so close to last year's 1Q number, I'm really curious to hear what they say about channel inventory for that product. Did they push a few extra units into the channel to make sure they had YoY growth?

At any rate, as a long-term investor I'm pretty happy with these results. This was the first quarter in a long time that I was a little nervous about. There are so many headwinds for Apple, there was a possibility I thought that this report would disappoint (me). I wasn't expecting it to, but like I said I was a little nervous.

A $5 billion currency effect? Wow!
 

zztype

macrumors newbie
Jun 8, 2010
14
14
Are your revenue and profit numbers switched?

For the quarter, Apple posted revenue of $18.4 billion and net quarterly profit of $75.9 billion, or $3.28 per diluted share, compared to revenue of $74.6 billion and net quarterly profit of $18 billion, or $3.06 per diluted share, in the year-ago quarter. Both revenue and earnings were company records.
 
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