Apple’s quarterly net profit vaults 31% to $11.1 bn

Smart phone maker Apple Inc has reported a 31 per cent increase in its net profit at $11.1 billion for the fiscal fourth quarter ended 26 September 2105, on the back of record quarterly revenue of $51.5 billion.

The quarterly net profit of $11.1 billion, or $1.96 per diluted share, compares with a net profit of $8.5 billion, or $1.42 per diluted share on revenues of $42.1 billion, in the year-ago quarter.

Gross margin for the July-September 2015 quarter stood at 39.9 per cent against 38 per cent in the year-ago quarter, while. EPS stood at $1.88.

Revenues were boosted by international sales, which accounted for 62 per cent of the quarter's revenue.

Sales were fuelled by record fourth quarter sales of iPhone, the expanded sale of Apple Watch, and all-time records for Mac sales and revenue from services.

Apple's iPhone sales rose 22 per cent year-on-year helped in large measure by booming China sales.

iPhone shipments to China increased 87 per cent year-over-year, and revenue reached $12.5 billion for Q4 2015.

Apple opened its 25th store in China this past weekend and aims to open 40 within the country by the middle of 2016.

The company, which began shipping the new iPhone 6s and 6s Plus in late September, reported $51.5 billion in sales (up 22 per cent) for its fiscal 2015 fourth quarter ended 26 September.
 
''Fiscal 2015 was Apple's most successful year ever, with revenue growing 28 per cent to nearly $234 billion. This continued success is the result of our commitment to making the best, most innovative products on earth, and it's a testament to the tremendous execution by our teams,'' said Tim Cook, Apple's CEO. ''We are heading into the holidays with our strongest product lineup yet, including iPhone 6s and iPhone 6s Plus, Apple Watch with an expanded lineup of cases and bands, the new iPad Pro and the all-new Apple TV which begins shipping this week.''

''Apple's record September quarter results drove earnings per share growth of 38% and operating cash flow of $13.5 billion,'' said Luca Maestri, Apple's CFO. ''We returned $17 billion to our investors during the quarter through share repurchases and dividends, and we have now completed over $143 billion of our $200 billion capital return programme.''

Apple's board of directors has declared a cash dividend of $.52 per share of the company's common stock. The dividend is payable on 12 November 2015, to shareholders on record as of the close of business on 9 November 2015.

Apple expects revenue in fiscal 2016 first quarter revenues to be between $75.5 billion and $77.5 billion with gross margin between 39 per cent and 40 per cent. Operating expenses are expected to be between $6.3 billion and $6.4 billion.

The company expects $400 million in other incomes in the 2016 fiscal.

Apple paid $17 billion to investors during the most recent quarter through share repurchases and dividends, and CFO Luca Maestri noted that Apple has completed more than $143 billion of its $200 billion capital-return programme.