Apple’s FQ1 revenue hits all-time record as iPhone sales smash estimates
Apple (NASDAQ:AAPL) reports FQ1 results with all-time high revenue of $111.4B (+21%) and EPS of $1.68, up 35%. iPhones, Services, and Wearables all hit new revenue records.
Revenue breakdown: iPhone, $65.6B ($59.86B consensus); Mac, $8.67B ($8.68B consensus); iPad, $8.44B ($7.61B consensus); Wearables, Home and Accessories, $12.97B ($11.91B consensus); Services, $15.76B ($14.85B consensus).
The iPhone strength reflects the iPhone 12 release delay, which pushed the devices into FQ1. Wearables were expected to get a holiday shopping boost from strong AirPods sales.
Mac and iPad sales continue to catch pandemic tailwinds, but Mac sales in particular are slowing, driving the roughly in-line performance.
Greater China sales recovered from last quarter’s 29% Y/Y decline to a 57% gain to $21.3B.
“Our December quarter business performance was fueled by double-digit growth in each product category, which drove all-time revenue records in each of our geographic segments and an all-time high for our installed base of active devices,” says CFO Luca Maestri. “These results helped us generate record operating cash flow of $38.8 billion. We also returned over $30 billion to shareholders during the quarter as we maintain our target of reaching a net cash neutral position over time.”
Baidu wins permit to test driverless vehicles on California public roads
Baidu (NASDAQ:BIDU) shares saw a small blip in the last few minutes – but are still down 3.8% on the day – after the company’s U.S. unit received a permit from California to test its driverless vehicles on public roads.
The company can test three autonomous vehicles without drivers on certain streets in Sunnyvale, Calif., the California Dept. of Motor Vehicles says.
While 58 companies have permits to test AVs with a safety driver, Baidu is only the sixth that can test the vehicles without a driver behind the wheel.
Baidu’s at $238.67. Last week, Citi boosted its price target on Baidu to $292 based in part on potential upside from the autonomous driving program.
AT&T reports Q4 beats as HBO Max passes 41 million domestic subscribers
AT&T (NYSE:T) shares are down slightly pre-market despite reporting Q4 beats on the top and bottom lines with revenue down 2% on the year to $45.7B.
Mobility revenue was up 8% with a 28% increase in equipment sales and 1% for services. Met adds included 1.2 million postpaid, 800,000 postpaid phone, and nearly 6 million total domestic wireless adds. Postpaid churn was 0.76%, the second lowest quarter ever.
Broadband includes 273,000 Fiber net adds and IP broadband ARPU growth of 4.6%.
Video shed 617,000 subscribers in premium TV with higher churn.
HBO Max topped 41 million domestic subscribers and neared 61 million worldwide. Activations doubled since the end of Q3 and totaled 17.2 million at the end of Q4.
“By investing in our high-quality wireless customer base, we had our best full-year of postpaid phone net adds in a decade and our second lowest postpaid phone churn ever. Our fiber broadband net adds passed the 1 million mark for the year. And the release of Wonder Woman 1984 helped drive our domestic HBO Max and HBO subscribers to more than 41 million, a full two years faster than our initial forecast,” says CEO John Stankey.
For 2021, AT&T expects about 1% consolidated revenue growth and adjusted EPS that’s flat on the year. FCF is expected around $25M, and the total dividend payout ratio in the high 50% range.
