Apple shares see a sharp spike in trading on Wednesday, after the company reports its first-quarter sales figures for the current fiscal year. The earnings beat predictions and Apple shares sees a subsequent spike. The stock was up 3.0 percent at the time of this writing.
Apple announced its third-quarter results Tuesday and the tech giant posted quarterly sales of $52.9 billion and profits of $11.8 billion, which beat revenue and profits forecasts from analysts.
According to the company, sales in the quarter were up 10 percent from the same period in the previous year. Overall revenue this quarter was $55.4 billion which marked a slight decline in sales from the same period last year.
The Apple Watch segment continues to grow, posting 20 percent growth, while revenue from iPhone revenue was up 6 percent from last year. However, overall sales were $12.1 billion lower than last year.
The company announced a new service called Apple Pay Cash. The service allows people to pay for things on their phone using a person’s Apple Pay Cash via a built-in payment feature. It’s currently available on iOS and Apple Watch and the company says it will be available on Android and web in the future.
“Our quarterly results were driven by the strength of the Apple ecosystem,” said Tim Cook, Apple’s CEO. “iPhones have the highest per-unit revenue of any smartphone sold, and all five of our product segments grew revenue year over year. We are thrilled with the early response to HomePod, introduced a new app store partnership and introduced new services, including Apple Pay Cash and services for Apple Watch and Music.”
Apple reported revenue of $61.4 billion in the last quarter of the 2018 fiscal year, which was up 9 percent from last year’s fourth quarter. There are currently over 400 million active devices that run Apple’s iOS operating system.