Apple Inc. (AAPL) stock climbed 0.68% when trading closed on May 7. Shares are up 12% week over week. The company released its second-quarter results on May 1.
Apple reported quarterly revenue of $61.1 billion which represented a 16% increase from Q2 2017. Earnings per diluted share were up 30% year-over-year to $2.73 and international sales accounted for 65% of revenue in the quarter. Sales for the iPhone X surged in the quarter and beat out the sales of any other iPhone model. Apple reported 20% growth in revenue in China and Japan.
The board of directors approved a $100 billion share repurchase program and a 16% hike in its quarterly dividend to $0.73 per share. This represents a 1.3% dividend yield. The move makes Apple the highest payer of corporate dividends in the United States, surpassing Exxon Mobil Corporation. Its share repurchase plan will be carried out over the course of the year.
The U.S. Tax Cuts and Jobs Act saw Apple pay a $38 billion one-time tax charge as part of the repatriation fee. However, it has also garnered $47 billion in tax savings due to the reform package.
Apple also offered guidance for the third quarter. It projects revenue between $51.5 billion and $53.5 billion, and gross margin between 38-38.5%. Apple also estimates a tax rate of 14.5% for the coming quarter.
