this afternoon, apple announced their profits for the second zone in their 2017 economic year. sales turned into up 5% yr-over-year to $52.896 billion. running income for the zone changed into up 6.6% to $14.097 billion, and net profits become up simply below 5% to $11.029 billion. this ended in diluted earnings in keeping with percentage of $2.10.
apple is also pronouncing they're increasing their capital return program, and the board has elevated the capital go back to shareholders any other $50 billion, making the whole program really worth $300 billion in dividends and proportion repurchases by the time it wraps up in march 2019.
apple q2 2017 economic results (gaap)
q2'2017 q1'2017 q2'2016
revenue (in billions usd) $fifty two.896 $seventy eight.351 $50.557
gross margin (in billions usd) $20.591 $30.176 $19.921
running earnings (in billions usd) $14.097 $23.359 $13.987
internet earnings (in billions usd) $11.029 $17.891 $10.516
margins 38.9% 38.five% 39.four%
earnings per proportion (in usd) $2.10 $three.36 $1.90
iphone remains a long way and away the largest a part of apple, however sales for this quarter were extraordinarily flat as compared to the identical period a year in the past. for the sector, apple offered 50.763 million iphones, down 1% from a yr ago, however with better average selling fees, sales became up 1% to $33.249 billion for the sector. of course, final quarter become the iphone refresh, and that they bought 78.29 million iphones closing area, so the business isn’t exactly doing poorly, however iphone is the device that has transformed apple, so we’ll should see how income pass over this calendar 12 months.
mac income were robust even though, thinking about the computer marketplace. mac had an boom in device income of 4%, to 4.199 million devices. with a brand new mac pro refresh, this is possibly no longer as strong as predicted, however sales for the unit turned into up 14% to $five.844 billion, so they are making greater per mac sale.
offerings seem to be the next massive growth vicinity for apple, and with an installation base of iphones as high as it's miles, that is arguably a terrific way to capitalize on that base. apple’s offerings section, which includes sales for virtual content, applecare apple pay, licensing, and other offerings, had revenue boom of 18% to $7.041 billion. the distinction with offerings compared to iphone sales is that there isn’t the huge swing region to zone both, with offerings handiest losing 2% from q1, in comparison to iphone which dropped 39% from the holiday area.
the ipad continues its drop, and not anything apple has completed but appears to have had any effect on this fashion. ipad become down 12% in revenue yr-over-yr to $three.889 billion, and of path that’s nevertheless a big quantity of revenue, however whilst it has to compete towards the iphone it seems poorer than it's far. in terms of device income, apple bought 8.922 million ipads this area, down 13% from a yr ago where they sold 10.251 million.
apple q2 2017 device income (thousands)
q2'2017 q1'2017 q2'2016 seq change yr/year alternate
iphone 50,763 seventy eight,290 fifty one,983 -35% -1%
ipad eight,922 thirteen,081 10,251 -32% -13%
mac 4,199 5,374 4,034 -22% +4%
different products, that is wherein apple places apple television, apple watch, beats, ipod, and add-ons, simply had a strong area, with sales up 31% to $2.873 billion. apple by no means breaks down the man or woman elements of this although, that's understandable, however unlucky.
