AWT News Update: October 25, 2016 (Q4 2014 Earnings Call Special Edition)

Ahhh, the joy of earnings calls. They provide a lot of information, and are usually as dry as Death Valley National Park. Today’s Apple Q4 2016 Earnings Call was no exception, so today we’re taking that one-hour phone call and condensing it down to a bit over 7 minutes. Highlights? Read the rest of this post and listen to the podcast.

• Apple “kinda” beat the street estimates, slightly over for earnings per share and iPhone units sold, but was just a hair under estimates for revenues at “only” $46.9 billion.
• One of the key points is that supply is constrained on the iPhone 7 Plus and iPhone 7. Apple is expecting the iPhone 7 to “catch up” during the quarter, but it sounds like supplies of the iPhone 7 Plus could be low until early in 2017.
• Services now account for a huge percentage of Apple’s revenues, and Apple CFO Luca Maestri noted that Apple Pay transactions were up over 500% since 2015. The company did more transactions in September of 2016 than in all of 2015.
• The iOS App Store also contributed to that services revenue jump, creating 100% more revenue than the competing Google Pay app store.
• As usual, shares of AAPL are sharply down in after hours trading, with the latest quote at 6:27 PM ET showing a share price of 114.90, down 2.83 percent.
• There’s more, so be sure to click the play button and listen to that podcast!

The text version of the podcast can be viewed below. To listen to the podcast here, click the play button on the player below.