Apple beat Wall Street estimates for earnings and revenue in the March quarter, but projected lower-than-expected results for the upcoming quarter.
Apple posted earnings of $11.62 a share on revenue of $45.6 billion for the second quarter, coming in well ahead of analyst estimates for earnings of $10.18 a share on revenue of $43.5 billion. However, the company said it expects revenue to drop to between $36 billion and $38 billion in the June quarter.
The iPhone business -- still Apple's largest individual product line -- proved stronger than analysts had expected. Apple reported sales of 43.7 million iPhones for the March quarter, beating estimates of around 38 million iPhones. That's up from 37.4 million iPhones sold during the same quarter a year earlier.
The iPad, on the other hand, came in below estimates. Apple sold 16.3 million iPads in the quarter, down from 19.5 million a year earlier, suggesting a slowdown in demand for the product line. The bottom also appears to have fallen out from the iPod line, as Apple reported selling just 2.8 million of the devices, a 52% decline from a year earlier.
Apple announced plans to boost its stock buyback by $30 billion to $90 billion and implement an unusual 7-1 split.
Apple stock was up by about almost 8% in after hours trading following the earnings report and buyback announcement.
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