Apple Inc. (NASDAQ: AAPL) stock rose over 3% on the pre-market session on November 3rd, 2017(as of 5:56AM EDT; Source: Google finance) driven by the firm’s decent fourth quarter of 2017 results. The group delivered a revenue rise of 12% yoy to $52.6 billion for the fourth quarter of 2017 while quarterly earnings per diluted share enhanced 24% yoy to $2.07. International sales comprised 62% of the quarter’s revenue. The group’s gross margin is in their high end of their guidance range, while their iPhone sales exceeded their expectations. Apple started shipping iPhone 8 and iPhone 8 Plus to customers in more than 50 countries during the last week of September.
Apple’s Services delivered an outstanding performance with revenue delivering an all-time quarterly record of $8.5 billion during the September quarter. They are on track to achieve a double services revenue by 2020 as compared to fiscal 2016 services revenue of $24 billion. For fiscal year of 2017, they delivered a $30 billion, of Services business. Apple Watch reported a unit growth of over 50% for the third consecutive quarter, while the group started shipping Apple Watch Series 3 just six weeks ago.
China returned back to growth in greater China, driven by unit growth and market share gains for iPhone, iPad, and Mac. Their Mac sales in mainland China reached an all-time high for Services revenue.
The revenue from emerging markets excluding greater China rose 40%, driven by India, with the country’s revenue doubling on a year over year basis. The group also got positive results in enterprise and education with double digit growth in worldwide customer purchases of iPad and Mac in both markets.
For the first quarter of fiscal year of 2018, the group delivered a revenue in the range of $84 billion and $87 billion while their gross margin was in between 38 percent and 38.5 percent. They forecast their operating expenses to be in the range of $7.65 billion and $7.75 billion