Apple sees drop in revenue and net income

Apple delivered its financial results for the second quarter of fiscal year 2024. According to the report, the company generated revenue worth $90.753 billion, down 4.3% YoY, and net income of $23.636 billion, representing a decrease of 2.16% YoY. Operating income amounted to $27.9 billion for the same period, falling 1.5% YoY. In addition to that, Apple announced the largest share buyback program in the company’s history, amounting to $110 billion.

Net revenue = $90.7 billion (-4.3% YoY) vs. $94.8 billion in FY2Q23
Net income = $23.6 billion (-2.16% YoY) vs. $24.1 billion in FY2Q23
Operating income = $27.9 billion (-1.5% YoY) vs. $28.3 billion in FY2Q23
Earnings per share = $1.53 (0% YoY) vs. $1.53 in FY2Q23

Illustration 1.01
The illustration above shows Apple's price action in the aftermarket, with shares soaring more than 7%.

Additional information

• Operating costs rose 5.2% YoY to $14.3 billion.
  
• iPhone sales fell 10.4% YoY.
  
• Mac sales increased nearly 4% YoY.
  
• iPad sales went down 16.6% YoY.
  
• Sales in the wearable, home, and accessories category dropped 9.6% YoY.
  
• Revenue from services grew by 14.1%
  
• The company’s liabilities declined by about 9.4% YoY.
  
• Apple increased its dividend to $0.25 per share.
  

Forward guidance
Apple did not provide any forward guidance. However, its CEO, Tim Cook, said the company plans to announce in regard to artificial intelligence. On top of that, he expressed optimism about the company’s operations in China.

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