Apple presented fourth-quarter profits that were better than expected. However, it warned that unit sales were on the
better-than-expected fourth-quarter profits, though warned its unit sales were declining.
Shares in the biggest company in the world rose by more than two percent, placing it in pole position as tech giants from the United States all race to be the first company to reach a stock market valuation of $1 trillion.
Earnings and Revenue surpassed the forecasts of Wall Street. Revenue amounted to $88.3bn as compared with the expectations of $87.3bn. Fourth quarterly earnings were at $3.89 per share, beating the $3.86 that was predicted by some analysts.
However, unit sales dropped and missed guidance. Apple flogged only 77.3m phones during the last three months of the year as compared with an anticipated 80m units.
Norm Johnston, the chief digital officer of WPP Mindshare, stated: “If Apple is able to deliver another quarter of robust iPhone sales, it might very well be the first company to reach a $1 trillion valuation.
“What most analysts will scrutinise is whether Apple has been able to sell enough $1,000 iPhone X’s given the device’s hefty price tag. The answer was an emphatic yes.”