Apple Beats Earnings But Misses On iPhone Sales, Guides Sales Lower: Stock Tumbles

Tyler Durden's picture

So much for the only silver lining in Q4 and Nasdaq leadership from AAPL. Moments ago AAPL reported results which beats on the top and bottom-line, reportined revenues of $57.6 billion in line with the expected $57.5 billion, and EPS beating modestly at $14.50 vs Exp. $14.07 mostly thank to the retirement of 46 million diluted shares from a year ago. However the good news ended here, with the one thing the market was focusing on - iPhone sales - missing badly, as the company only sold 51 million iPhones in the quarter of the 5S release, compared to expectations of 54.7 million. Additionally, Apple also guided to lower revenues than the street had expected, and is now seeing $42-44 billion in the next quarter compared to consensus estimates of $46.1 billion and for all those calling for the demise of the US consumer - you may be right: AAPL Americas revenue declined by 1% from a year ago, when AAPL also had a new product launch. Is AAPL's largest market starting to say "meh"?

Putting all this together, and the stock is down about 5% in the after hours session as the market is less than happy with yet another quarter of AAPL. But nobody is less happy than Carl Icahn who is now underwater on his latest $1 billion in widely trumpeted on Twitter AAPL purchases.

 

Breaking down AAPL's results visually: Revenues.

 

Margins:

 

And most importantly, the breakdown by component sales:

 

Finally the one thing Carl Icahn will be fixated on - cash and marketable securities - rose by $12 billion in the quarter.