Apple profit almost doubled in the last quarter, reflecting robust demand for the iPhone in China as well as purchases of a new version of the iPad tablet, allaying concerns that fueled a 12% two-week slump in the stock.
Net income in the fiscal second quarter climbed to $11.6 billion, or $12.30 a share, as revenue increased 59%, to $39.2 billion, Cupertino, Calif.-based Apple said today in a statement. Analysts had predicted profit of $10.02 a share on revenue of $36 .9 billion, data compiled by Bloomberg show.
CEO Tim Cook is increasingly relying on regions outside the U.S. for sales growth. Apple sold 35.1 million iPhones in the period after releasing the latest model in China and 21 other countries in January. That helped make up for sales declines from the previous quarter at the top U.S. mobile-phone carriers, Verizon Wireless and AT&T. It also quelled speculation that Apple's growth pace may slacken.
"China has been a very fast-growing region for them," said Abhey Lamba, an analyst at Mizuho Securities USA in New York. "There's more disposable income, strong demand for high-end products, and their penetration has been very low in that market. They have been highlighting that region as one of their focus areas."
Apple sold 11.8 million iPads last quarter. Analysts had predicted the company would sell 31.2 million iPhones and 11.9 million iPads, according to the average of estimates compiled by Bloomberg.--Bloomberg News