Apple announces $110 billion buyback program after exceeding modest expectations in latest earnings report | Technology News

Apple’s quarterly results and forecast exceeded expectations on Thursday, as the tech giant announced a record share buyback program and increased its cash dividend by 4%. The company authorized a buyback of $110 billion in stock, marking its largest buyback in history.

Despite a slight decline in quarterly revenue, Apple’s CEO Tim Cook expressed confidence in the company’s growth prospects for the current quarter. The results and guidance indicate that Apple may be regaining its position in the smartphone market, despite facing tough competition and regulatory challenges.

Following the announcement, Apple’s stock surged by 6% in extended trading, boosting its market value by over $160 billion. The company expects low-single-digit revenue growth in the current quarter, with strong performances projected for services and iPad revenue.

While iPhone sales experienced a slight decline, Mac sales exceeded expectations, driven by the popularity of the new MacBook Air powered by the M3 chip. Apple’s services segment, which includes Apple Music and TV offerings, also saw growth in revenue.

Looking ahead, Apple is ramping up its research and development spending in artificial intelligence, with plans to unveil exciting new products later this year. The company’s massive buyback program is aimed at appeasing investors and supporting its stock price amidst market challenges.

Overall, Apple’s quarterly earnings per share surpassed Wall Street estimates, reflecting the company’s resilience and strategic initiatives in the face of evolving market dynamics.