Notable Earnings: Apple (AAPL), Twitter (TWTR, Akamai Technologies (AKAM)

Apple Inc. (AAPL) reported fourth-quarter EPS of $1.96 after the closing bell Tuesday, compared to the consensus estimate of $1.87. Net sales rose 22.3% from last year to $51.50 billion. Analysts expected revenues of $50.96 billion. Net income came in at $11.12 billion, or $1.96 per share, from $8.47 billion, or $1.42 per share, a year earlier.

Apple said that it sold about 48.05 million iPhones in the quarter ended Sept. 26. Analysts on average had expected sales of 48.72 million iPhones. iPad unit sales came in at 9.9 million, down 19.8% yoy, while Mac sales came in at 5.71 million, up 3.4% yoy.

Looking ahead, Cupertino issued fiscal Q1/16 revenue projection of $75.5 – $77.5 billion, compared to the consensus revenue estimate of $76.95 billion.

“Apple’s record September quarter results drove earnings per share growth of 38% and operating cash flow of $13.5 billion,” commented Luca Maestri, Apple’s CFO. “We returned $17 billion to our investors during the quarter through share repurchases and dividends, and we have now completed over $143 billion of our $200 billion capital return program.”

The stock is currently up $3.50 to $118.05 on 57.93 million shares.

Twitter, Inc. (TWTR) plunged $3.39, or 12 percent, to $27.95 in extended trading due to lower-than-expected guidance for the 2015 fourth quarter, despite the co.’s solid Q3 earnings results.

The social media service firm handed in earnings of $0.10 per share on revenue of $569 million, beating Wall Street estimates of $0.05 per share on revenue of $562.17 million. On a GAAP basis, TWTR posted a loss of $131.7 million, or $0.20 a share, compared with a year-earlier loss of $175.5 million, or $0.29 a share. During the quarter, the company’s total active monthly users increased by 4 million, or 11%, to 320 million but below the forecast of 324 million, disappointing shareholders who are hoping for swift change under new CEO Jack Dorsey.

For the fourth quarter, Twitter said it expects revenue to range from $695 to $710 million, compared to analysts’ expectations of $741.70 million.

This is the company’s first earnings report with co-founder Jack Dorsey leading Twitter as its permanent CEO. Dorsey became Twitter’s interim CEO in July after Dick Costolo resigned the position, but then got the permanent job on Oct. 5.

Akamai Technologies, Inc. (AKAM) shares are down $10.35, or 13.96 percent, to $65.20 in after-hours trading Tuesday after the company beat Q3 estimates but fourth-quarter guidance disappointed the Street.

The cloud services provider posted earnings of $0.62 per share on revenues of $551 million, up 10.6% from a year ago. Analysts were expecting EPS of $0.58 on revenues of $549.94 million.

Looking ahead, the company said it expects Q4 revenue of $557 million to $577 million. Analysts had forecast $597 million.

Akamai Technologies shares have risen 36.64% yoy, while the S&P has gained nearly 6%.

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