On a day that tech stocks were dumped by all types of investors (well, except for contrarians), Meta shares closed down nearly 25% to $97.94 to erase approximately $13.75 billion from CEO Mark Zuckerberg’s net worth. In after-hours trading today, shares of Amazon are down almost $21 or 19% to $89.89 likely reducing CEO Jeff Bezos’ bank account. Amazon gave guidance for the calendar fourth quarter that was less than expected.
Sales of the iPad tablets dropped 13.06% on an annual basis to $7.17 billion. Wall Street was expecting iPad sales of $7.94 billion. Over the last 12 months, sales of the device declined from $31.86 billion during fiscal year 2021 to $29.29 billion in fiscal 2022. That is an 8% decline year-over-year.
Services revenue, an important part of the Apple story also failed to meet Wall Street estimates. Analysts predicted that Apple would report gross of $20.10 billion for the Services unit but the actual number was $19.19 billion, up 4.98% from last year. For all of fiscal 2022, Apple’s Services revenue was $78.13 billion. That was up 14.2% year-over-year.
The Wearables, Home and Accessories unit, which includes the popular Apple Watch and the AirPods true wireless earbuds saw revenue rise 9.8% to $9.65 billion from $8.79 billion last year. For the year, sales of this unit increased 7.5% to $41.24 billion compared to the $38.37 in sales generated last year.
Overall, revenue for the fiscal fourth quarter was $90.15 billion topping an estimate of $88.90 from Wall Street analysts, and was up 8.1% on an annual basis. For the fiscal year, revenue was $394.33 billion, up from $365.82 billion the year before. Net income was $20.72 billion for the fiscal fourth quarter, up from the $20.55 billion it reported during the same quarter last year. For fiscal 2022, Apple had a profit of $99.80 billion. That was up 5.4% year-over-year.
Diluted earnings per share of $1.29 topped estimates of $1.27 by two cents. The previous year, Apple had earnings of $1.24 during the fiscal fourth quarter. That works out to a 4% gain this year.
This is a developing story and will be updated!
