Apple (NASDAQ:AAPL) shares rose nearly 6.5% in extended trading on Thursday after the tech giant posted fiscal second-quarter results that were better-than-expected, despite fears about the iPhone in China.
For the period ending March 30, Apple earned $1.53 per share as revenue declined 4.3% year-over-year to $90.75B, including $45.96B from the iPhone. Analysts had expected the company to earn $1.50 per share on $90.33B.
Seeing weakness during the period were the company’s iPad and Wearables businesses, as both groups declined year-over-year by 17% and 9.6% to $5.56B and $7.91B, respectively. Analysts had expected $5.91B and $8.29B, respectively.
Apple’s Mac business generated $7.45B in revenue, up 3.99% year-over-year, topping analyst estimates of $6.79B. Also topping analyst’s forecasts was Apple’s Services business, which rose 14% from the year-ago period and accounted for $23.87B in revenue during the period, above the $23.28B forecasted.
Revenue from Greater China fell 8.1% year-over-year during the period to come in at $16.37B, above the $15.87B that analysts had expected. Several industry analysts recently highlighted weak iPhone sales in the region amid increased competition.
In a statement, CEO Tim Cook acknowledged the launch of the Vision Pro and alluded to an “exciting” product announcement next week, widely expected to be updated iPads.
“As always, we are focused on providing the very best products and services for our customers, and doing so while living up to the core values that drive us,” Cook said.
The company also updated its capital return plan, adding $110B to its buyback program and raised its quarterly dividend to $0.25 per share, an increase of 4%.
Seeking Alpha Investing Group Leader Victor Dergunov called Apple’s report “solid,” alluding to both the top-line and bottom-line figures, as well as the increases in its dividend and buyback.
“Apple is doing an excellent job of keeping investors interested in its stock during this slowdown period,” Dergunov said via email.
Apple will hold a conference call at 5 p.m. EST to discuss the results.
(This story has been updated to include more detail on growth rates and an updated stock price.)