Revenue of $88.3 billion
Apple (AAPL) announced its fiscal 1Q18 results on February 1, 2018, reporting revenue of $88.3 billion, a rise of 13% YoY (year-over-year). The quarter ended in December 2017. Apple’s non-GAAP (generally accepted accounting principles) EPS (earnings per share) was $3.89, a rise of 16% YoY. Although Apple reported record revenue in 1Q18, it was below the average analyst estimate. Its EPS 1Q18 was the highest reported earnings ever, beating analysts’ estimate.
International sales accounted for 65% of Apple’s revenue in fiscal 1Q18. During the earnings call, Apple’s chief executive officer Tim Cook stated, “We’re thrilled to report the biggest quarter in Apple’s history, with broad-based growth that included the highest revenue ever from a new iPhone lineup. iPhone X surpassed our expectations and has been our top-selling iPhone every week since it shipped in November.”
At the end of January 2018, Apple’s total installed base of devices stood at 1.3 billion, an increase of 30% over the last two years.
What did analysts expect from Apple in fiscal 1Q18?
Analysts expected Apple to post fiscal 1Q18 revenue of $86.5 billion with a low estimate of $84 billion and a high estimate of $89.8 billion. Its average EPS estimate was $3.78 with a high estimate of $3.94 and a low estimate of $3.41.
Apple shares fell 4.3% on February 2, 2018, after its fiscal 1Q18 results. The stock has fallen more than 5% since the start of 2018. Comparatively, the S&P 500 (SPY) and the PowerShares QQQ ETF (QQQ) have generated returns of 3.2% and 5.7%, respectively, in 2018.