From Yahoo Finance: 2025-05-01 16:32:00

Apple has reduced its share buyback program by $10 billion due to tariffs costing an estimated $900 million. CEO Tim Cook is focusing on shifting supply chains to minimize the impact of the trade war. The company is also planning to spend $500 billion to expand its U.S. footprint with operational expenses and capital outlays.

Analysts believe Apple is preparing for uncertain times by hoarding cash. Quarterly results showed sales and profit surpassing analyst estimates. For the current fiscal third quarter, Apple expects low-to-mid single-digit revenue growth. However, gross margins are predicted to be lower than analyst estimates.

Despite the trade war, Apple sales have not been impacted. The company reported $95.36 billion in sales, with iPhone sales reaching $46.84 billion. Apple expects to see revenue growth in the upcoming quarter, with majority of iPhones sold in the U.S. coming from India. Cook indicated a shift in supply chain locations to mitigate risks.

Apple’s services business generated $26.65 billion in sales, slightly below estimates. Sales in Greater China fell to $16 billion, while accessories and wearables revenue reached $7.52 billion. Revenue from iPads and Macs exceeded analyst expectations. The company plans to increase its cash dividend and reduce its stock buyback program by $10 billion.



Read more at Yahoo Finance: Apple girds for more trade war pain, trims buyback