Apple reported revenue of $95.36 billion (137 trillion won) and earnings per share of $1.65 (2,371 won) for the fiscal year second quarter (January to March) on the 1st (local time). Revenue increased by 5% compared to the same period last year, and net income rose to $24.78 billion, up 4.8%.
Both revenue and earnings per share exceeded Wall Street's average expectations of $94.66 billion and $1.63, compiled by market research firm LSEG.
iPhone revenue, which accounts for about half of total revenue, reached $46.84 billion, surpassing the expected $45.84 billion according to StreetAccount.
Reuters analyzed that "this seems to be because consumers purchased iPhones ahead of potential tariffs on iPhone imports proposed by President Donald Trump."
However, Chief Executive Officer (CEO) Tim Cook explained in an interview with CNBC that the strong sales of the relatively inexpensive iPhone 16e, priced at $599, contributed to the iPhone revenue.
Mac and iPad sales also recorded $7.95 billion and $6.4 billion, respectively, exceeding expectations.
However, revenue from the recently growing institutional sector of services, including Apple Music and Apple TV Plus, was $26.65 billion, falling short of the expected $26.7 billion.
Cook stated, "More than half of the iPhones sold in the U.S. are produced in India," and added, "Other products like Mac, iPad, AirPods, and Watch are mostly sourced from Vietnam."
He also noted that chips produced in the U.S. are heavily used in iPhones, and that the company plans to purchase 19 billion chips from the U.S. this year.
By region, sales in the Americas increased by about 8%. Foreign media interpreted this as an increase in consumer demand ahead of tariff hikes.
However, Cook stated, "I found no evidence of advance purchases due to tariffs," and "I believe there were no significant pre-orders due to tariffs in the March quarter."
Apple stated that it has approved a share buyback of up to $100 billion for this quarter. This is a decrease from last year's approved amount of $110 billion.
Apple does not provide forecasts for future quarterly performance. Wall Street is expecting revenue of $89.45 billion and earnings per share of $1.48 for this quarter (April to June).
Meanwhile, Apple shares rose by 0.39% in regular trading on the New York stock market, but are down more than 2% in after-hours transactions following the earnings announcement.