Apple Inc. (NASDAQ:AAPL, ETR:APC) reported better-than-anticipated third-quarter earnings but almost failed to raise the eyebrows of some investors. The world’s largest technology company posted a 5% increase in revenue to $85.78 billion, above Wall Street expectations of $84.53 billion. Net income came in at $21.45 billion, with EPS at $1.40, beating the expected $1.35. Investors shifted only its stock up by 0.3% in after-hours trading to $219.14.
Amazon Shares Drop After Revenue Miss
Shares of Amazon.com Inc. (NASDAQ:AMZN) fell over 7% after-hours following a revenue miss in its second-quarter earnings. The company posted revenue of $147.98 billion, missing analysts’ expectations of $148.56 billion. On the other hand, its EPS of $1.26 beat consensus expectations of $1.03. The company’s guidance for third-quarter sales ranged between $154 billion and $158.5 billion, which, though better, was short of the midpoint consensus estimate of $158.24 billion. Amazon’s stock sank $12.98, or 7.05%, to $171.09.
Snap Inc. Shares Plunge on Revenue Miss
Shares of Snap Inc. (NYSE:SNAP) plunged about 20% in extended trading after the company posted second-quarter revenue that fell short of expectations. Snap’s revenue came in at $1.24 billion, missing the Street’s view of $1.25 billion. Average revenue per user of $2.86 was also worse than the $2.91 expected. The third-quarter revenue outlook of $1.335 billion to $1.375 billion fell short of the prior consensus of $1.36 billion. Competition for ad dollars, already dominated by TikTok and Instagram, continues to challenge the company.
Rolls-Royce Soars on Dividend Reinstatement
Rolls-Royce Holdings PLC’s stock surged by more than 9% after announcing its first reinstatement in dividend payouts since the pandemic. It increased revenue for the first half of the year to £8.2 billion from £7 billion in the same period a year ago. Underlying profit leaped to £1.1 billion, and the guidance given by the group for the full year was lifted to a range from £2.1 billion to £2.3 billion. Rolls-Royce also announced that it would shed 2,500 jobs as part of its drive for cost efficiencies. The stock closed at 491.88p, up 9.4%.
Barclays shares fall despite strong financials
Shares in Barclays PLC (LSE:BARC) lost 3.6% to 225.32 pence even though the bank posted strong quarterly financials in a valuation drive on UK banks from a Bank of England base interest rate cut to 5%. It announced today that it has registered a 1% rise to £6.3 billion in second-quarter income, with its net profit for shareholders amounting to £1.2 billion, beating the consensus estimates of £1.03 billion. It announced a £750m buyback and a 2.9p dividend. However, these good results did not save it from the fall of 3.63%.
Next PLC Soars Following Positive Trading Update
Shares of Next PLC (LSE:NXT) surged more than 8% to 9,830p after the retailer provided a positive second-quarter trading update. It now expects to make £980 million in profit for the 2025 financial year on the back of higher sales and lower costs forecast. Full-price sales in the second quarter increased by 3.2 percent, while it rose by 4.4 percent in the first half driven by its impressive online overseas sales. Retail sales were down following rather unfavorable weather; however, the company still chooses to retain its cautious outlook on sales for the second half.
BAE Systems’ Financials Impressive but Meet Expectations
Shares of BAE Systems PLC (LSE:BA.) slid close to 1%, despite the company reporting a 13% leap in revenue to £13.4 billion for the half-year. In addition, it increased full-year guidance for sales and profit growth to 12-14%. The interim dividend at BAE was increased by 8% to 12.4p a share. As previously stated, the Company reiterates the increased demand for its products and the strategic acquisition of Ball Aerospace. However, results that came in broadly in line with market expectations sent the stock down 0.93% to 1,285p at the close.
