Maybe Apple does not need to launch any new products. The company today announced its Q2 FY 2014 financial results with revenues of US$45.6 billion and a net profit of US$10.2 billion. In comparison, revenues hit US$43.6 billion and profits US$9.5 billion the same quarter a year ago. Even its gross margin rose from 37.5 percent the same quarter a year ago to 39.3 percent this quarter.
The Apple iPhone continued to sell very well with another 43.7 million being sold over the quarter but iPad sales only hit 16.3 million units, a drop from the 19.5 million sold the same quarter a year ago. Apple also sold 4.1 million Mac PCs and 2.7 million iPod devices over the quarter.
“We’re very proud of our quarterly results, especially our strong iPhone sales and record revenue from services,” said Tim Cook, Apple’s CEO. “We’re eagerly looking forward to introducing more new products and services that only Apple could bring to market.”
“We generated $13.5 billion in cash flow from operations and returned almost $21 billion in cash to shareholders through dividends and share repurchases during the March quarter,” said Peter Oppenheimer, Apple’s CFO. “That brings cumulative payments under our capital return program to $66 billion.”
Apple also announced that it will issue a seven-to-one stock split as well as an increase to its stock repurchase program from the US$60 billion announced last year to US$90 billion. On June 2, Apple stockholders will receive six additional shares for every share they hold. Trading on a split-adjusted basis will begin on June 9.
Looking ahead, Apple expects to report revenues between US$36 and US38 billion in Q3 FY 2014. It is widely expected to refresh most of its products in the second half of the year, including the iPhone 6 with a larger display, and introduce the iWatch smartwatch.