Apple (NASDAQ:AAPL) Beats Analyst Expectations, Barely

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Apple (NASDAQ:AAPL) has officially announced its Q4 2022 financial results and the visitor has not only managed to beat annotator'southward expectations as far every bit the EPS results become, it has besides managed to outperform the previous quarter's fiscal results.

Apple tree (NASDAQ:AAPL) Crunches Out $46.9 Billion in Acquirement From the July to September Quarter With a Better Functioning Showing Compared to Previous Quarter

The company's earnings results started with $46.9 billion in revenue and $ix billion in profit. Beating analyst's expectations of $1.66 per share, the company posted earnings per share of $1.67. Unfortunately, compared to the year-over-yr results, the company'southward acquirement, profit, and EPS took a hit. Revenue for Q4 2022 was $51.v billion with $i.96 earnings per share and $11.1 billion in profit.

While the company was able to beat annotator expectations in the EPS category, the company missed out past a very sparse margin in the acquirement category. Expectations were $46.94 billion and Apple's stock was down 2.5 pct in afterward-hours trading following the earnings release. As for which product generated the virtually amount of revenue, the visitor's iPhone lineup took first place, followed past the iPad and the Mac. The breakdown of the number of units sold accept been listed below:

iPhone: 45.51 million
iPad: nine.28 million
Mac: iv.89 million

Compared to the previous quarter results, Apple (NASDAQ:AAPL) actually sold more than iPhones, well-nigh likely due to the influx of units sold cheers to the announcement of iPhone 7 and iPhone 7 Plus. Apple'due south CEO, Tim Melt too highlighted the company'south stiff fiscal results and noted that the visitor'due south Services sector grew 24 percent to fix another tape:

"Our strong September quarter results cap a very successful fiscal 2022 for Apple. Apple's CEO. We're thrilled with the customer response to iPhone vii, iPhone 7 Plus and Apple Picket Series ii, equally well as the incredible momentum of our Services business organization, where revenue grew 24 pct to set another all-fourth dimension record."

Unfortunately, other products ranging from the Apple tree Watch, iPod, Apple Tv set and Beats products were down 22 percent year-over-twelvemonth. Apple'south Q4 2022 numbers show much ameliorate performance compared to the previous quarter, where it generated $42.4 billion in revenue and $7.8 billion in turn a profit on sales of 40.4 million iPhones, 9.9 million iPads, and iv.two million Macs. While it can exist said that the bulk of the revenue was thanks to the peak in iPhone sales, the company's iPhone 7 actually came out just a week before Apple's Q4 ended, so the device likely didn't have a huge impact on numbers this quarter.

Apple (NASDAQ:AAPL) has provided the following guidance for its financial 2022 kickoff quarter:
Revenue between $76 billion and $78 billion
Gross margin between 38 percent and 38.v percentage
Operating expenses between $6.9 billion and $7 billion
Other income/(expense) of $400 million
Tax rate of 26 pct

Where is the innovation?

Apple tree (NASDAQ:AAPL) is nevertheless doing well as a company, but questions have been raised in the marketplace as to whether the business firm can keep the kinds of stellar growth information technology has seen since the launch of the iPhone. The various iPad and Sentry introductions take done little to show that the company is the innovating juggernaut information technology was under previous supremo Steve Jobs. A contempo report by IDC showed smartwatch shipments shrunk by over 50% year on year. Apple Watch is of course still the market leader in this segment but a meg units shipped in the quarter is inappreciably a stellar functioning.

Of course there is a new model only around the corner only ultimately consumer uptake of the segment is regarded equally weak. As such, it's pretty articulate that Apple needs to figure out what its adjacent big production is going to exist. Tim Cook recently hinted that the company has never had a stronger product pipeline but with rumours of the demise of the Car and a saturated smartphone market, investors had amend hope that statement is truthful and Apple tree tin bring virtually some real innovation and create a new segment equally leaders again like they have in the by. A Mac refresh is unlikely to prompt a return to the massive growth of past years.

Fundamentally, Apple tree is of course still sound every bit a business, but without huge share cost growth in the future, shareholder calls for return of capital will just grow louder.

What did you retrieve of Apple'due south Q4 2022 financial performance? Let the states know your thoughts in the comments below.