Apple, Google, Amazon Earnings

February 03, 2023

Today is Friday, February 3, 2023.

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Apple iPhone Sales Drop

Bad quarterly sales caused shares of Apple (Nasdaq: AAPL) to decline by 3.2% in after-hours trading on Thursday.

Financials: Apple reported earnings of $1.88 per share and revenue of $117.2 billion in the quarter; both were below estimates.

Growth: Net sales for services jumped from $19.5 billion in the same period last year to $20.7 billion in the quarter. For iPad, sales grew from $7.2 billion to $9.3 billion thanks to a new iPad model hitting the market.

But: Apple missed estimates in other segments. That includes the iPhone category, with net sales declining from $71.6 billion to $65.7 billion.

Final Thoughts: Apple faced many challenges in the quarter, including production delays, but there’s hope that the company can turn things around by the next earnings results.

Notables

Notable Earnings Today: Cigna (NYSE: CI), Regeneron Pharmaceuticals (Nasdaq: REGN), ArcBest (Nasdaq: ARCB), Aon (NYSE: AON), Cboe Global Markets (BATS: CBOE), Saia (Nasdaq: SAIA), Sanofi (Nasdaq: SNY), LyondellBasell (NYSE: LYB), Avantor (NYSE: AVTR), National Fuel Gas Company (NYSE: NFG), Brookfield Renewable Partners (NYSE: BEP), Church & Dwight (NYSE: CHD).

Notable IPOs Today: SONDORS Inc. (Nasdaq: SODR), Asset Entities Inc. (Nasdaq: ASST), Structure Therapeutics Inc. (Nasdaq: GPCR), Bullfrog AI Holdings, Inc. Common Stock (Nasdaq: BFRG).

Notable Equity Crowdfunding Campaigns Ending Today: Mediar (Republic), Mediloq (StartEngine), BlackFULLness (Wefunder), Carnot Compression (StartEngine), Tapped Mill Creek (Mainvest), NovaXS Biotech (Republic), Rule G Brewing (Mainvest), Ms Helen’s Creole Kitchen (Honeycomb).

Notable Economic Events Today: Unemployment Rate (8:30 a.m. ET), Nonfarm Payrolls (8:30 a.m. ET), Average Hourly Earnings (8:30 a.m. ET), Labor-Force Participation Rate (8:30 a.m. ET), S&P Global Composite PMI (9:45 a.m. ET), Services PMI (9:45 a.m. ET), ISM Non-Manufacturing PMI / Employment (10:00 a.m. ET).

Google, YouTube Faces Ad Revenue Decline

Photo by Sebastian Bednarek / Unsplash

Disappointing financial results sent shares of Google parent Alphabet (Nasdaq: GOOGL) down 4.60% in after-hours trading on Thursday.

Financials: Alphabet reported earnings of $1.05 per share and revenue of $76.05 billion in the quarter; both were below estimates.

Big Drop: YouTube ads pulled in $7.96 billion in the quarter, which was lower than expected. Year-over-year Google ad revenue is down from $9.3 billion to $8.4 billion. Revenue for Google Cloud reached $7.3 billion, but that was lower than expected.

Final Thoughts: Google is down 24% in the last 12 months. It’s a tough time to invest in the online ad industry.

Amazon’s Cloud Slowdown

Amazon (Nasdaq: AMZN) shares dropped 5.07% in after-hours trading on Thursday after the tech giant reported financial results.

Financials: Amazon reported earnings of 3 cents per share in the quarter, which was below estimates. But revenue reached $149.2 billion, which was better than expected.

Details: Net sales increased by 9% year-over-year, including a 29% increase for AWS, which is Amazon’s cloud business.

But: AWS sales reflect a slowdown in growth. In fact, the operating income for AWS is down a bit from the previous period last year.

Final Thoughts: Down 18% in the past 12 months, Amazon is facing a period of slower growth.

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