Apple Stock Jumps on Better-Than-Expected Earnings, $110 Billion Buyback Program

Apple (AAPL) shares jumped in extended trading Thursday after the company reported better-than-expected fiscal second-quarter earnings and announced a $110 billion stock buyback program.

The company's revenue for the second quarter of fiscal 2024 was $90.75 billion, a 4% decline from the year-ago period but slightly above analysts' expectations. Net income of $23.64 billion was down from $24.16 billion in the year-earlier quarter, while diluted earnings per share (EPS) were up slightly. Both earnings numbers topped analysts' estimates.

Apple also reported record-high Services revenue at $23.87 billion a 14% jump from the year-ago period.

Apple also announced a $110 billion share buyback program and raised its quarterly dividend by 4% to 25 cents.

"Thanks to very high levels of customer satisfaction and loyalty, our active installed base of devices has reached a new all-time high across all products and all geographic segments, and our business performance drove a new EPS record for the March quarter,” Apple Chief Financial (CFO) Officer Luca Maestri said in the earnings release.

Apple's closely watched iPhone sales dropped to $45.96 billion in the latest quarter from $51.33 billion a year earlier. The company's Greater China business, another segment closely monitored by investors, posted revenue of $16.73 billion, versus $17.81 billion in the year-earlier quarter.

Apple shares were up 6% at $183.46 at around 7:30 p.m. ET. Through Thursday's close, the stock had lost 10% of its value so far this year amid concerns about the state of the iPhone business and weakness in China.

Correction—May 2, 2024: This article has been updated to reflect more recent share price information and correct a reference to which quarter results were from.