Apple iPhone Sales Boost Apple Past Estimates

tech.hindustantimes.com:

With investors on edge about an economic slowdown, Apple Inc. offered just enough good news Thursday to calm fears -- and bought itself some time to ready a wave of new products. The company's fiscal third-quarter revenue and profit narrowly topped analysts' estimates, with iPhone sales holding up better than expected. Though Chief Executive Officer Tim Cook decried a “cocktail of headwinds” hampering Apple's business, he predicted that sales would begin to pick up in the coming months.

“This quarter has ultimately been a reflection of our resilience and our optimism,” Cook said on a conference call with analysts. “As we look forward, we're clear-eyed about the uncertainty in the macro environment. Yet we remain ever focused on the same vision that has guided us from the beginning.”

The shares gained 2.5% in pre-market trading on Friday. Apple had fallen 11% this year through Thursday's close, dragged down by a broader slide among tech stocks.

Apple warned earlier this year that the third quarter would be a rough stretch, with supply chain snags cutting sales by $4 billion to $8 billion. But in typical Apple fashion, the reality was better than expected. The constraints ultimately cost the company less than $4 billion, Cook said during the call. And that number will be lower in the current period.

Revenue rose 2% to $83 billion in the third quarter, which ended June 25, compared with an average analyst prediction of $82.8 billion. Earnings amounted to $1.20 a share, topping the $1.16 projection.

Apple's iPhone and iPad both performed better than feared during the quarter, though other products -- including Macs and wearables -- fell short of projections. Services, a key growth area for Apple, narrowly missed