Apple’s Massive Cash Hoard Hits New Record
Apple (NASDAQ:AAPL) reported its latest round of earnings after Tuesday’s closing bell. Despite the negative sentiment surrounding the tech giant over the past year, the results topped expectations. In addition, Apple proved it’s still a huge cash machine, and is willing to return some greenbacks to investors.
For the company’s fiscal 2013 third quarter, Apple posted a net profit of $6.9 billion ($7.47 per diluted share), compared to $8.8 billion ($9.32 per diluted share) a year earlier. Revenue edged slightly higher from $35.0 billion to $35.3 billion over the same period. While growth and innovation continue to remain a concern, the results topped Wall Street’s earnings estimate of $7.32 per share on revenue of $35 billion.
Gross margin came in at 36.9 percent, slightly better than estimated. In the same quarter a year earlier, gross margin was 42.8 percent.
Apple sold 31.2 million iPhones in the quarter, up 20 percent year-over-year, and smashing estimates of 26 million to 27 million units. However, the number of iPads sold fell 14 percent to 14.6 million, missing estimates calling for around 17 million to 18 million units.