MacRumors

Apple today announced financial results for the third calendar quarter and fourth fiscal quarter of 2017.

For the quarter, Apple posted revenue of $52.6 billion and net quarterly profit of $10.7 billion, or $2.07 per diluted share, compared to revenue of $46.9 billion and net quarterly profit of $9 billion, or $1.67 per diluted share, in the year-ago quarter. The revenue and earnings per share numbers were company records for the fourth fiscal quarter, although the total profit fell short of the 2015 figure.

Gross margin for the quarter was 37.9 percent, compared to 38 percent in the year-ago quarter, with international sales accounting for 62 percent of revenue. Apple also declared an upcoming dividend payment of $0.63 per share, payable November 16 to shareholders of record as of November 13.

For the quarter, Apple sold 46.7 million iPhones, up from 45.5 million in the year-ago quarter. iPad sales were up to 10.3 million from 9.3 million in the fourth quarter of 2016, and Mac sales rose to 5.4 million from 4.9 million.

For the full fiscal year, Apple generated $229.2 billion in sales with $48.4 billion in net income, up from $215.6 billion in sales and $45.7 billion in net income for fiscal 2016.

“We’re happy to report a very strong finish to a great fiscal 2017, with record fourth quarter revenue, year-over-year growth for all our product categories, and our best quarter ever for Services,” said Tim Cook, Apple’s CEO. “With fantastic new products including iPhone 8 and iPhone 8 Plus, Apple Watch Series 3, and Apple TV 4K joining our product lineup, we’re looking forward to a great holiday season, and with the launch of iPhone X getting underway right now, we couldn’t be more excited as we begin to deliver our vision for the future with this stunning device.”

Apple's guidance for the first quarter of fiscal 2018 includes expected revenue of $84-87 billion and gross margin between 38 and 38.5 percent.

Apple will provide live streaming of its fiscal Q4 2017 financial results conference call at 2:00 PM Pacific, and MacRumors will update this story with coverage of the conference call highlights.

A complete transcript of Apple's fourth quarter earnings call is ahead.

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Apple customers in Australia and New Zealand are always the first to get their hands on new devices on launch day because of time zone differences, and the iPhone X is no exception.

It's nearly 9:00 a.m. in New Zealand, and customers who pre-ordered an iPhone X are beginning to receive their shipments and have started sharing the first customer photos of the new device on Twitter, Instagram, reddit, and the MacRumors forums.

There are no Apple Stores in New Zealand, so customers in Australia will be the first to be able to purchase devices from an Apple retail location. Available stock in Australia should give us an idea of what we can expect as it rolls around to November 3 across the globe.

Following New Zealand and Australia, iPhone X sales will kick off in Asia, Europe, and finally, North America. Apple Stores globally are opening at 8:00 a.m. local time to allow customers to pick up reserved devices and make walk-in purchases.

Apple has promised that its retail locations have stock available for walk-in customers, but supplies are believed to be limited. In countries where the iPhone X launch is approaching, lines are growing longer and longer. In the United States, customers hoping for a device should try to get to Apple Stores early.

Along with Apple Stores, other retailers are offering the iPhone X for purchase, but supplies may be even tighter at these locations. For U.S. customers, we've heard rumors suggesting some retailers like Target and AT&T may not have any iPhone X stock at some locations.

First wave iPhone X launch countries where the device is available starting on November 3 include Andorra, Australia, Austria, Bahrain, Belgium, Bulgaria, Canada, China, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Greenland, Guernsey, Hong Kong, Hungary, Iceland, India, Ireland, Isle of Man, Italy, Japan, Jersey, Kuwait, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Mexico, Monaco, the Netherlands, New Zealand, Norway, Poland, Portugal, Puerto Rico, Qatar, Romania, Russia, Saudi Arabia, Singapore, Slovakia, Slovenia, Spain, Sweden, Switzerland, Taiwan, United Arab Emirates, the UK, the US and the US Virgin Islands.

In the United States, the first iPhone X deliveries will take place on the east coast starting at 8:00 a.m. iPhone X pricing starts at $999 for the 64GB model, with the 256GB model priced at $1,149.

Make sure to stay tuned to MacRumors both tomorrow and throughout next week, because we'll have plenty of iPhone X coverage to share.

An increasing number of developers have updated their apps over the past few days with support for the iPhone X's new screen dimensions. We've rounded up some of the more popular titles below ahead of the device's launch tomorrow.

Apple has highlighted many other apps ready for the device in a "Great on iPhone X" section on the App Store, including Afterlight 2, Citymapper, Launch Center Pro, Netflix, Twitter, CARROT Weather, Wikipedia, and Yelp.

Apple has been encouraging developers to optimize their apps for the iPhone X for weeks, so there are likely dozens if not hundreds of other apps ready for the device. If you know of any others, be sure to share them in the comments section.

Qualcomm on Wednesday filed yet another lawsuit against Apple, this time accusing the company of breaching software licensing terms and using Qualcomm code to help Intel, reports Bloomberg.

According to Qualcomm, Apple breached a contract that dictates the use of software that's designed to make Qualcomm chips work with other iPhone components. Qualcomm also believes Apple may have used its access to that software to help Intel with its own modem chip development.

Since 2016, Apple has been using LTE chips from both Intel and Qualcomm in an effort to diversify its supply chain and move some production away from Qualcomm. The iPhone 7, 7 Plus, 8, and 8 Plus all use a mix of Qualcomm and Intel chips.

In light of the ongoing legal battle with Qualcomm, Apple is said to be considering eliminating Qualcomm chips from its devices all together, instead adopting chips from Intel and possibly MediaTek. Rumors suggest Qualcomm has been withholding software from Apple that Apple needs to test prototype devices for next year, forcing Apple's hand.

Qualcomm and Apple have been involved in an escalating legal fight since the beginning of the year after Apple sued Qualcomm for $1 billion. Apple has accused Qualcomm of charging unfair royalties for "technologies they have nothing to do with" and failing to pay for quarterly rebates.

Apple has since stopped paying royalties to Qualcomm until new licensing fees have been worked out, as have Apple suppliers, significantly impacting Qualcomm's profits.

Qualcomm has since levied several lawsuits against Apple, accusing the company of patent infringement and asking both the United States and China to block imports and exports of some iPhone models.

As the launch of Apple's iPhone X approaches tomorrow, eager users are set to enjoy battery life normally reserved for Apple's Plus-size form factors in a phone more closely resembling a non-Plus variant in its dimensions. The reason for this advancement is not an energy density development, but rather a smaller printed circuit board (PCB) inside the iPhone X, according to a February report from KGI Securities.

This smaller PCB is thanks to a technology referred to as substrate-like PCBs, or SLP. Depictions from the report show a PCB with more layers than a traditional iPhone PCB thanks to application processor and RF signal-chain dedicated PCBs married via an interposer, creating a layer stackup nearly twice that of a conventional iPhone PCB.

However, this doesn't come close to telling the whole story. While a new PCB stackup may offer some more flexibility in component placement, it's important to remember that the opposite side of the board from the A11 isn't empty in an iPhone 8. There are plenty of components there too — the NFC chip, display drivers, Wi-Fi combo chips, and power management ICs have all often found their homes directly opposite the workhorse application processor.

After all, 4.7-inch iPhones and their 5.5-inch "Plus" siblings have similarly sized PCBs, with battery capacity suffering as a direct result in the smaller phones. Herein lies the real problem in trying to improve battery life in these smaller form factors.

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iPhone X shipping estimates have improved to 3 to 4 weeks in many countries around the world, including the UK, Australia, Japan, China, and more.

In fact, shipping estimates are better in what appears to be all first wave launch countries in Europe, Asia Pacific, and the Middle East.

At three to four weeks, customers in those countries who place an order today will be able to get their hands on an iPhone X right around the beginning of December. Customers who have already placed an order should also see their arrival times improve, and MacRumors readers are already reporting decreased wait times.

The new shipping estimates are an improvement from the 5 to 6 week estimates we saw just after pre-orders sold out. Estimates have not yet improved in North America, so we're still seeing 5 to 6 week wait times in the United States, but the better shipping estimates should soon expand to all launch countries.

Apple's iPhone X is on the verge of launching, and the first orders will arrive to customers in New Zealand and Australia in just a few hours. Apple Stores will be opening at 8:00 a.m. local time across the globe for in-store sales.

As the launch of the iPhone X approaches, customers who are hoping to get one of the new devices on November 3 are lining up at Apple Stores around the world. Lines at many major stores started forming earlier this week, and some people have already been waiting for days to purchase an iPhone X.

Apple has said that Apple retail stores will have the iPhone X available for walk-in customers, but the company has encouraged people to line up early as the device is in short supply. If pre-orders are any indication, available supply at stores could go quickly.

While we still have just under 24 hours to go before launch in the United States, customers in Australia will be getting their devices not too long from now, followed by those in Asia and Europe, so lines are longer in those countries.

As it gets later in the day, lines, especially in the United States, will continue to grow. Once the first stores open in Australia, we'll get hint at how much stock might be available, but it's looking like supplies are going to be tight.

If you're planning to wait in line to get an iPhone X, make sure to check out our guide for some tips on what to bring and how to choose a store.

Apple is set to report its earnings results for the fourth quarter of its 2017 fiscal year at 1:30 p.m. Pacific Time today.

The fiscal quarter reflects Apple's sales between July 2 and September 30 of 2017.

Apple provided the following guidance for its fourth quarter back on August 1:

• revenue between $49 billion and $52 billion
• gross margin between 37.5 and 38 percent
• operating expenses between $6.7 billion and $6.8 billion
• other income/expense of $500 million
• tax rate of 25.5 percent

Apple's guidance suggests the company will report at least its second best fourth quarter earnings results in its history.

MacRumors.com compiled fourth quarter estimates from several financial institutions and analysts tracking Apple and the company's stock. The figures are listed below, ranked from highest to lowest in quarterly revenue.

Apple's fourth quarter earnings results will provide the first official indication of how well the iPhone 8 and iPhone 8 are selling. The devices became available to pre-order on September 15, just over two weeks before the quarter ended, and launched in stores one week later on September 22.

Multiple reports have suggested that demand for the iPhone 8 and iPhone 8 Plus has been tepid, but that could be a side effect of pent up demand for the iPhone X. Apple staggered the release of its high-end smartphone, for which pre-orders began October 27, nearly six weeks after the iPhone 8 and iPhone 8 Plus.

The most interesting takeaway will be Apple's guidance for the quarter we're in right now, which encompasses the launch of the iPhone X and the busy holiday shopping season. Over the past year, analysts have repeatedly predicted the highly-anticipated device will drive a significant "supercycle" of upgrades.

A high guidance range would suggest that Apple expects the iPhone X to sell very well, while a lower one would suggest that either demand is lower than thought or that Apple continues to face issues with ramping up supply of the device.

In addition to iPhone sales, investors will be looking for continued growth of Apple's services category, which includes the likes of the App Store, iTunes Store, Apple Music, Apple Pay, AppleCare, and licensing fees. Apple's services revenue grew 22 percent to an all-time record of $7.3 billion last quarter.

Apple's services category has become the size of a Fortune 100 company, according to chief executive Tim Cook.

Cook and Apple's financial chief Luca Maestri will discuss the company's earnings results on a conference call at 2:00 p.m. Pacific Time. MacRumors.com will transcribe the call as it unfolds for those unable to listen.

The iPhone X's facial recognition abilities continue to be found at the center of privacy concerns, with the American Civil Liberties Union and the Center for Democracy and Technology today raising questions over how "effectively" Apple can enforce certain privacy rules surrounding face scanning (via Reuters). Specifically, the privacy defending groups are worried about how certain pieces of facial data can be taken off the iPhone X by developers who seek to create entertainment features with the new smartphone's facial software.

Facial data that is used to unlock the iPhone X -- or data related to "Face ID" -- is securely stored on the device itself and not in iCloud. However, Apple will let developers take certain pieces of this facial data off the user's iPhone "as long as they seek customer permission and not sell the data to third parties," according to terms seen in a contract by Reuters. This means that developers who want to use the iPhone X's front-facing camera can get a "rough map" of the user's face, as well as a "stream of more than 50 kinds of facial expressions."

The data that developers can gather -- which can then be stored on the developer's own servers -- is said to help monitor how often users blink, smile, or even raise an eyebrow. Although this data can't unlock the iPhone X, according to documents about Face ID sent to security researchers, the "relative ease" with which developers can gain access to parts of a user's facial data and add it to their own servers has led to the new concerns raised by the ACLU and CDT today.

That remote storage raises questions about how effectively Apple can enforce its privacy rules, according to privacy groups such as the American Civil Liberties Union and the Center for Democracy and Technology. Apple maintains that its enforcement tools - which include pre-publication reviews, audits of apps and the threat of kicking developers off its lucrative App Store - are effective.

[...]But the relative ease with which developers can whisk away face data to remote servers leaves Apple sending conflicting messages: Face data is highly private when used for authentication, but it is sharable - with the user’s permission - when used to build app features.

According to Jay Stanley, a senior policy analyst at the ACLU, the privacy issues surrounding facial recognition in the context of unlocking a smartphone "have been overblown." Stanley explained, "The real privacy issues have to do with access by third-party developers." The experts concerned about Face ID in this context are also not worried about "government snooping," but more about marketers and advertisers tracking how a user's expression reacts to their ads.

Apple has strict policies against developers using face data for advertising and marketing, but those concerned groups cited worry about the company's "inability to control what app developers do with face data once it leaves the iPhone X." Stanley said that "the hard part" for Apple will come from having to find and catch the apps that might be violating these policies, meaning that the big household names probably won't be of concern to Apple, "but there's still a lot of room for bottom feeders."

Now that the iPhone X is in the hands of reviewers, many have said that Face ID works quite well in many different conditions. Some outlets have taken to try and fool Face ID with large pieces of clothing, sunglasses, and "twin tests," the last of which have come back with mixed results. In its ongoing efforts to reassure customers of Face ID's security and privacy, Apple released an in-depth security white paper in September to highlight and explain some of these features of Face ID.

iPhone X pre-orders began shipping to customers earlier this week, and with just hours remaining until the device launches around the world, most orders have now been updated with a "shipped" status on Apple's website.

MacRumors readers continue to report improved delivery estimates, with some customers who were previously quoted a November 17-24 window now expected to receive their iPhone X around November 8. Many of these customers, but not all, are enrolled in the iPhone Upgrade Program and ordered a silver model.

iPhone X pre-orders destined for the United States are passing through UPS and FedEx hubs in Anchorage, Alaska, as usual, with UPS shipments headed to its Worldport facility in Louisville, Kentucky. From there, the iPhone X orders will begin to make their way to customers around the country.

The truest of Apple aficionados can take the UPS tracking number they receive, once their iPhone X has been shipped, and match their device's departure scan with UPS flights on FlightAware. The page hasn't been updated since the iPhone 7 launch, but the flight information appears to remain accurate.

The calendar is already turning to Friday in Australia and New Zealand, two countries where the iPhone X will launch first. Long lines are forming at Apple Stores across the Asia-Pacific region, including the Orchard Road location in Singapore.

Channel NewsAsia shared a video on its Facebook page of Apple trying to get customers to form a single queue at the Orchard Road store.

If you didn't pre-order and plan on lining up for a chance to purchase the iPhone X tomorrow, our iPhone Launch Meetups section in the MacRumors discussion forums is a useful resource. The vast majority of Apple Stores will open at 8:00 a.m. local time on Friday, and supplies wil likely be very limited.

The iPhone X will be in the hands of customers in less than 48 hours, but ahead of the device's launch, our new videographer, Dan Barbera, was able to spend some time with an iPhone X demo device to get a look at the new smartphone before its public release.

Because this is a demo device that's going to be in retail stores for customers to check out before making a purchase, Face ID was disabled, but Dan was able to check out the design of the iPhone X and give us a good look at the new gestures needed to operate the device.

We just wanted to give MacRumors readers a quick close-up of the iPhone X ahead of its launch with this first video, but starting this Friday, we'll be doing a much deeper dive into the iPhone X in a series of videos. We have a lot of content planned, so make sure to stay tuned to MacRumors.com and subscribe to our YouTube channel if you haven't done so already.