Apple beats earnings estimates, shares rise

Apple (NASDAQ: AAPL) reported financial results for its fiscal 2020 first quarter ending December 28, 2019.

Quarterly revenue stood at $91.8 billion beating expectations of $88.43 billion by a good margin. The revenue growth represents a 9% increase from the year-ago quarter and an all-time record!

Earnings were also very positive with the company reporting quarterly earnings per diluted share of $4.99 beating estimates of $4.54 per share creating another record.

Apple provided more detail on revenue split by product shown below:

– Phone: $56.0 billion

– Mac: $7.2 billion

– iPad: $6.0 billion

– Wearable, Home, and Accessories: $10.0 billion

Q2 F2020 guidance provided Apple (AAPL) include revenue between $63.0 billion and $67.0 billion and gross margin between 38.0 percent and 39.0 percent.

Tesla announces record sales

Tesla (NASDAQ: TSLA) reported record sales of its electric vehicles that helped the company post continue to report profitability again in the fourth quarter.

Earnings stood at $105 million and revenue reported was $7.4 billion beating market expectations.

Optimism from investors sent shares soaring almost 12% in after-hours trading.

Tesla also announced that production of its Model Y ahead of schedule at its Fremont factory. Tesla expects to “comfortably” exceed the production of 500,000 vehicles this year at its factories in Fremont and Shanghai. Model Y production in Shanghai will start in 2021.

Tesla delivered 19,475 Model S and Model X in the fourth quarter, a 29% decline from the same period last year. However, deliveries of the cheaper Model 3 vehicle increased to 92,620 in the fourth quarter, a 46% increase from the same period in 2018.

Facebook beats earnings estimates but reports slowing growth

Facebook (NASDAQ: FB) reported strong fourth-quarter earnings beating market estimates. However, the stock tanked by more than 7% due to concerns over slowing growth, rising costs and narrowing operating margin.

The key numbers from Facebook fourth-quarter earnings report are:

– Earnings (EPS): $2.56 vs. $2.53 per share market expectation

– Revenue: $21.08 billion vs. $20.89 billion market expectation

– Daily active users (DAUs): 1.66 billion vs. 1.65 billion market expectation

– Monthly active users (DAUs): 2.5 billion vs. 2.5 billion market expectation

– Average revenue per user (ARPU): $8.52 vs. $8.38 market expectation

Facebook also announced a $10 billion share repurchase program.

Leave a Reply

Your email address will not be published. Required fields are marked *