LIVE: Here come Apple's quarterly earnings (AAPL)

Tim Cook

  • Apple will report its fiscal third-quarter earnings on Thursday
    after the market closes.
  • Analysts are expecting revenue to be slightly lower compared to
    the same quarter one year ago.
  • Wall Street will also be looking for clues about whether
    Apple’s anticipated 5G iPhone will launch on time.
  • The results come just after CEO Tim Cook testified before
    Congress about the company’s App Store policies, an important part
    of Apple’s growing services business.�
  • We’ll be covering Apple’s earnings live, so refresh this story
    for the latest. 
  • Visit Business
    Insider’s homepage for more stories
    .

Apple is about to report its fiscal third-quarter earnings, and
analysts are expecting quarterly revenue to drop slightly compared
to the same quarter one year ago.

The results will also provide another look at how the COVID-19
pandemic has been impacting Apple’s business as many of the
company’s retail stores have remained closed. 

But most importantly, analysts will be looking for clues about
whether Apple’s anticipated 5G iPhone is on track to launch during
its usual fall timeframe. Analysts will look to whether Apple
issues guidance for its fiscal fourth-quarter for clues about
this.

“If they issue guidance that’s kind of low, I think from that
you can kind of triangulate that the phone might be delayed,” RBC
Capital Markets analyst Robert Muller previously said to Business
Insider. 

Given the economic impacts of the coronavirus pandemic, which
has walloped global smartphone sales according to the
International Data Corporation,
analysts are looking to Apple’s
services business for growth. The company’s booming services
category has been a bright spot in recent quarters as iPhone sales
have slumped, and that trend is expected to continue in Q3
2020. 

The results also come on the heels of a major antitrust hearing
on Wednesday, in which
CEO Tim Cook testified
about the company’s App Store policies.
Analysts may also ask about how Apple is bracing for any regulation
that may result from House Antitrust Subcommittee’s investigation,
considering the App Store is an important part of Apple’s services
business. 

Here’s a look at what analysts are expecting and how Apple
performed during the same quarter last year.

  • Q3 revenue: Analysts are expecting $52.3
    billion. In the same quarter one year ago, Apple posted revenue of
    $53.8 billion.
  • Q3 earnings per share (GAAP): Analysts are
    looking for $2.07. In its third-quarter of 2019, Apple earned $2.18
    a share.
  • iPhone revenue: Apple posted iPhone revenue of
    $25.9 billion in its fiscal third-quarter 2019.
  • Services revenue: Apple’s revenue segment
    generated $11.5 billion in the same period last year.
  • Wearables revenue: Apple posted $5.5 billion
    in revenue for its wearables business in last year’s third
    quarter.
  • Q4 revenue guidance: Analysts are expecting
    revenue guidance of $61.6 billion for the fiscal fourth quarter of
    2020.

We’ll be covering Apple’s earnings live,
please refresh or click here for the latest. 


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LIVE: Here come Apple's quarterly earnings (AAPL)