Apple (NASDAQ: AAPL) will announce its financial results for the second quarter of 2021 after the market close on Wednesday, April 28, 2021. Here are the things we expect from the earnings report and on the conference call scheduled on that day.
Apple shares had a recent bull run representing confidence in company’s fundamental health with shares rising 7 days in a row.
Apple did not provide any formal guidance for its Q2 2021 period during its last conference call on January 27. It refrained from giving any guidance at the start of the pandemic along with other companies citing “macro-economic uncertainties”.
Apple has proven for the last several quarters that it can outperform despite the world tortured with a pandemic and in one where many countries around the world are struggling with record unemployment rates and falling incomes.
The company last reported record-breaking revenue of $111.4 billion representing an increase of 21% from the prior year’s holiday quarter. Analysts cheered as Apple reported revenue above $100 billion for the first time in the company’s history.
App Store customers are also reportedly spending more on apps and in-app purchases during the health crisis. Data indicated that app spending surged 40% year-over-year during the first quarter of 2021 and there are no signs that performance is slowing down.
There have been several reports of iPhone 12 and iPhone 12 Pro demand weakening due to people holding off purchase until the next iPhone comes out this September.
Wall Street consensus expects Apple to report revenue of about $77.1 billion and earnings-per-share of $0.98 for the second quarter of 2021. That would represent an expected seasonal decline from Apple’s previous holiday quarter.
Earnings Whisper predicts Apple to report earnings-per-share of $1.08 and revenue of $77.6 billion dollars which is higher than analysts estimates.
The coverage for the Q2 earnings will be until the period ending March 31. There has been no new product released in this earnings coverage as the latest products Apple announced were just released this Friday and won’t be included in the last financial statement.
Analysts were mostly positive with Apple’s Spring Loaded event with Krish Sanker of Cowen saying that the transition to Apple Silicon could lead to earnings-per-share (EPS) accretion of around $0.13 within 18 months. He also models that Apple will ship about eight to ten million iPad Pro units with mini-LED displays.
We will give you a closer insight and analysis after Apple’s second quarter report.