Apple Q4 Earnings: China Weakness Offsets Strong Mac and Services Growth
Apple delivered a mixed fourth quarter, surpassing Wall Street's revenue and EPS estimates but revealing cracks in its China strategy. The $102.47 billion top line and $1.85 earnings per share outperformed LSEG forecasts, yet Greater China sales dipped 4% annually to $14.49 billion.
Investors shrugged off the results in after-hours trading, with shares remaining flat. The muted reaction stemmed from iPhone revenue landing at $49.03 billion—a 6% annual increase but below the $50.19 billion analyst consensus. CEO Tim Cook attributed the shortfall to supply constraints on multiple iPhone 17 models during the quarter's final week.
Mac sales emerged as a bright spot, climbing 13% to $8.73 billion on strong demand for the redesigned MacBook Air. Services continued their upward trajectory while iPad revenue stagnated at $6.95 billion amid a product refresh drought.