Apple shares rise as company announces strong earnings

Key Points

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• Apple's stock price rose by 5% in after-hours trading.
• The company reported strong earnings for the fourth quarter of 2022.
• Apple's revenue and profits were both higher than analysts' estimates.

Apple's Earnings Report

Apple released its earnings report for the fourth quarter of 2022 on Thursday, January 26th. The company reported revenue of $123.9 billion, which was up 11% from the same quarter last year. Apple's profits also rose, coming in at $30.6 billion for the quarter. This was up 13% from the same quarter last year.

Analysts had estimated that Apple would report revenue of $121.1 billion and profits of $29.8 billion for the quarter. Apple's strong earnings report beat these estimates and sent the company's stock price up by 5% in after-hours trading. Apple's strong earnings were driven by strong sales of iPhones, Macs, and services.

iPhone Sales

Apple sold 88.3 million iPhones during the fourth quarter of 2022. This was up from 79.3 million iPhones sold during the same quarter last year. The iPhone 14 series has been a popular success, and it helped to drive strong sales for the company.

Mac Sales

Apple sold 11.5 million Macs during the fourth quarter of 2022. This was up from 10.9 million Macs sold during the same quarter last year. The MacBook Air and MacBook Pro have been popular models, and they helped to drive strong sales for the company.

Services Sales

Apple's services business continues to grow. The company reported revenue of $20.8 billion from services during the fourth quarter of 2022. This was up from $19.5 billion from the same quarter last year. Services include iCloud, Apple Music, Apple TV+, and Apple Arcade. The growth of Apple's services business is helping to reduce the company's reliance on hardware sales.

Outlook

Apple is optimistic about the future. The company expects to continue to grow its revenue and profits in the coming years. Apple is investing in new products and services, and it is expanding into new markets. The company is also benefiting from the growing popularity of its ecosystem of products and services.