Apple, the world’s most valuable company, says it sold 35 million iPhones in the quarter, almost twice as many as it sold a year ago and above analyst expectations. Apple shares were down before the report because investors believed phone companies had reined in iPhone sales. Net income in the fiscal second quarter, which runs January to March, was $11.6 billion, or $12.30 per share. That was up nearly double the net income of $6 billion, or $6.40 per share, a year ago. Analysts polled by FactSet were expecting earnings of $10.07 per share for the latest quarter, Apple’s fiscal second. Revenue was $39.2 billion, up 59 percent from a year ago. Analysts were expecting $37 billion.
Fitch restores Ford to investment grade
The Fitch Ratings agency lifted Ford’s credit rating from junk status to investment grade Tuesday, a sign that the company’s recovery from near collapse is almost complete. But Ford Motor Co. needs another agency, either Standard &Poor’s or Moody’s, to make the same upgrade before it can get its blue oval logo, factories and other assets out of hock. Ford lost its investment grade status in 2005 when it was racking up billions in losses as the SUV and truck boom went bust. The company mortgaged most of its assets, including the highly recognized oval, to borrow $23.5 billion the following year.
Paccar’s 1Q profit rises 69 percent
Heavy-duty truck maker Paccar Inc. said Tuesday that first-quarter profit rose 69 percent on higher sales of trucks in North America and parts. The Bellevue-based company, which makes Kenworth and Peterbilt trucks, said its North American customers were benefiting from an increase in freight shipping and the need to replace trucks in their aging fleets. The gains were tempered by continued sluggish demand for trucks used to haul construction materials because of the weak housing market in North America, and by ongoing economic problems that led to fewer truck orders in Europe.
IBM raises dividend, OKs stock buyback
IBM Corp. is raising its quarterly dividend and repurchasing $7 billion more of its stock under a new buyback program. The company said Tuesday that it is raising its quarterly dividend by 10 cents, or 13 percent, to 85 cents. The technology products and services company says this is the 17th year in a row it has increased its dividend. Buying back shares can make an existing stockholder’s stake more valuable.
LG Display reports quarterly loss
LG Display Co., the world’s second-largest maker of liquid crystal displays, had its third straight quarterly loss. Feeble demand for TVs and delays in developing new tablet panels were blamed for the losses.
Herald news services