The Business Roundtable, a group of CEOs of nearly 200 major U.S. corporations, gave a new definition of the "purpose of a corporation."Marketsread more
Stocks rose sharply on Monday as Treasury yields rebounded, quelling fears of a possible recessionUS Marketsread more
J.P. Morgan estimates the average annual tariff cost per household will be $1,000 with the new round of Trump's tariffs.Marketsread more
Since its IPO 15 years ago, Google has become more and more powerful. Today, that power is being highly scrutinized.Technologyread more
Sequoia's Michael Moritz says that direct listings worked for Spotify and Slack and will become more common for companies with "courage and intelligence."Technologyread more
Shares of embattled utility PG&E plummeted after a judge ruled that a jury can decided whether it should pay up to $18 billion in damages.Marketsread more
The attacks come after state and local ransomware attacks in New York, Louisiana, Maryland and Florida resulted in the loss of significant sums.Technologyread more
In a statement Monday, Barr named Kathleen Hawk Sawyer the new director of the Federal Bureau of Prisons.Politicsread more
Lobbying disclosure reports show that Maria Ressa, who founded news website Rappler Inc. in the Philippines, has tapped two partners out of Covington & Burling to help her...Politicsread more
The New York City police officer who used a chokehold on Eric Garner in an encounter that ended with Garner's death has been fired, New York City Police Commissioner James...Politicsread more
The president said the Fed has been hampered by a "horrendous lack of vision" and said it should institute 100 basis points worth of reductions to its benchmark rate.Marketsread more
Apple reported earnings for its March quarter Tuesday that were above expectations, although revenue was down from the same period last year. However, Apple's guidance for next quarter was higher than analysts expected, and it said it planned to spend $75 billion buying back its own shares.
Apple stock spiked over 4% and it approached a $1 trillion market value in extended trading.
Here's how the company did compared to what Wall Street expected:
Apple's total sales were down 5% from the same period last year, although it doesn't seem to matter to investors as the stock is up.
Guidance for Apple's fiscal third quarter was higher than expected, suggesting Apple's iPhone demand machine is stabilizing again and that services revenue continues to grow. In January, Apple cut its first-quarter forecast, blaming slow iPhone sales in China.
iPhone revenue was also down 17.33% year-over-year. iPhone revenue accounted for 53.5% of Apple's revenue for the quarter, which is lower than it has historically been.
In an interview with CNBC's Josh Lipton, CEO Tim Cook said that Apple's performance in China had improved over the previous quarter and saw greater strength towards the end of the quarter. Cook also said that a sales tax cut had helped decrease the price of Apple products, which had helped. Cook said that the trade relationship between the U.S. and China had improved as well.
"I believe that the trade relationship — I don't mean the tariff, I mean the tone — is much better today than it was in the November-December time frame. That affects consumer confidence in a positive way," Cook said.
Apple said that it had $10.22 billion in sales in its Greater China category, which also includes Taiwan and Hong Kong.
The improvement in the China region may be one reason for Apple's strong next-quarter guidance, which was significantly higher than analysts expected. Apple blamed iPhone sales in China for a revenue shortfall in the December quarter.
"The June guidance was a jaw dropper in terms of strength and speaks to Cook and Cupertino getting back their sea legs after the December debacle," Wedbush analyst Dan Ives said.
Apple also said that it would spend $75 billion on share repurchases and it also approved a 77 cent dividend per share, a 5% increase. Apple announced that it would spend $100 billion during this period last year. Cook said that Apple had returned $27.5 billion to shareholders last quarter.
Apple has recently been signaling to investors that iPhone sales aren't the critical number to watch. Apple instead is highlighting its services revenue, which includes products like iCloud, Apple Music, AppleCare warranties and others. Apple reported $11.45 billion in services revenue, which is up 16% from the same time last year.
"We'll have Apple Arcade and Apple TV+ in the market in the fall, and Apple Card will go out during the summer timeframe. We're very excited about getting these out there," Cook said during a call to discuss the earnings.
When asked about which new service he thought would be the most financially meaningful, Cook said: "We wouldn't do a service that wouldn't be meaningful, these aren't hobbies."
Apple isn't providing a new installed base figure from its last update of 1.4 billion devices, but Cook did say that it hit an all-time record last quarter across all categories.
Apple's individual product lines are still critical for the company. Recently, it has been highlighting the strength of its Wearables business, which includes Apple Watch, AirPods, and other headphones, and were up nearly 50% year-over-year.
iPad sales were also a strong point and Cook highlighted the strong sales performance of the iPad Pro.
Going forward, Apple CFO Luca Maestri said that the strong guidance for the June quarter was partially attributable to strong revenue growth from non-iPhone categories.
Here's how the product lines break down:
-- Josh Lipton contributed to this report
Correction: This story has been updated with the correct sources of analyst estimates. EPS and revenue estimates came from Refinitiv. Estimates for iPhone revenues, services revenues, gross margins and other segment revenues came from FactSet.