Last quarter Apple (Nasdaq: AAPL) announced plans to bring overseas cash stock back into the country in view of the change in the tax code. This quarter, it announced a record share repurchase plan to utilize some of that cash. This begs the question whether the incentives to allow corporations to bring overseas cash back in is producing actual investment or is it all going into the pockets of the already wealthy shareholders.

Apple’s Financials

Apple’s second quarter revenues grew 16% over the year to $61.1 billion, marginally shy of the Street’s forecast of $61.15 billion. EPS of $2.73 was better than the market’s expected earnings of $2.69 for the quarter.

By segment, Apple’s iPhone revenues grew 14% over the year to $38 billion driven by a 3% growth in iPhone sales. Overall, the company sold 52.22 million iPhones, falling short of the Street’s estimated sales of 53 million units. The average selling prices for iPhones grew 10% over the year to $728, suggesting a growing share of the $999 priced iPhone X. The market was looking for the average selling price to grow to $742. Analysts are worried that the high price of the iPhone X has hurt the demand for the phone. But Apple is not very worried. According to the management, iPhone X remained the most popular iPhone model every week in the March quarter.

iPad revenues grew 6% to $4.11 billion, driven by a 2% increase in units sold. Mac revenues were flat for the year at $5.85 billion despite a 3% reduction in units sold. Its services segment grew 31% to $9.2 billion, compared with the Street’s forecast of $8.4 billion. Revenues from other products grew 38% to $4 billion.

By region, Apple’s revenues from the Americas grew 17% over the year to $24.8 billion and sales from Europe grew 9% to $13.8 billion. Greater China region continued to drive strong growth and reported a 21% improvement to $13 billion. This was the best growth that China has ever seen in the region in the last ten quarters. Revenues from Japan also increased 22% to $5.5 billion. Revenues from the rest of Asia Pacific improved 4% to $4 billion.