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Apple Announces Stock Split, Share Repurchase, Hints at New Products

April 23, 2014
The moves were announced as the maker of iPhones, iPads and iPods reported a profit of $10.2 billion in its first-quarter earnings report.

SAN FRANCISCO - Apple on Wednesday said that it plans to buy back an additional $30 billion worth of shares and split its stock.

The moves backed by the Apple board were announced as the company reported a profit of $10.2 billion on $45.6 billion in revenue in the first three months of this year.

The earnings figures came with Apple CEO Tim Cook hinting that new products are on the way from the maker of iPhones, iPads, iPods and Macintosh computers.

"We're very proud of our quarterly results, especially our strong iPhone sales and record revenue from services," Cook said in a press release.

"We're eagerly looking forward to introducing more new products and services that only Apple could bring to market."

Apple will spend an additional $30 billion to buy back shares of the company's stock, raising to $130 billion the value of shares it intends to repurchase by the end of next year.

"We're confident in Apple's future and see tremendous value in Apple's stock, so we're continuing to allocate the majority of our program to share repurchases," Cook said.

"We're also happy to be increasing our dividend for the second time in less than two years."

Apple (IW 500/4) will increase its quarterly dividend to $3.29 per common share.

Its board has endorsed a seven-for-one stock split, with each shareholder of record as of June 2 receiving six additional shares for each one they hold, the company said.

Copyright Agence France-Presse, 2014

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