FORTUNE -- Apple (AAPL) reported record earnings of $14.50 per share on sales of $57.6 billion Monday -- beating both its and Wall Street's expectations. But unit sales of the iPhone were less than expected and the company's guidance for the current quarter -- $42 billion to $44 billion -- was a disappointment to investors, who were anticipating a top number closer to the Street's Q2 revenue estimate of $46 billion.
The stock, which closed up $5.12, lost roughly $50 in after hours trading.
iPad sales (26 million units) and Mac sales (4.8 million) beat expectations. But iPod sales (6 million) were down more than 50% year over year. And the 51 million iPhones sold, while a record, was a few million shy of the Street's expectations.
"While iPhone units were disappointing, ASPs were higher than expected, as were overall company gross margins," wrote Piper Jaffray's Gene Munster in a quick note to clients.
"We are really happy with our record iPhone and iPad sales, the strong performance of our Mac products and the continued growth of iTunes, Software and Services," said Tim Cook in a press release.
"We generated $22.7 billion in cash flow from operations," added CFO Peter Oppenheimer, "and returned an additional $7.7 billion in cash to shareholders through dividends and share repurchases during the December quarter, bringing cumulative payments under our capital return program to over $43 billion."
The Board of Directors declared a cash dividend of $3.05 per share of common stock. The dividend is payable on February 13, 2014, to shareholders of record as of the close of business on February 10, 2014.
A conference call with analysts began at 5:00 p.m. Eastern and will be replayed within the hour. Link: Apple Financial Results Q1 2014
Below: Notes from the conference call.
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