Apple has reported quarterly revenue of $62.9 billion, up 20% over last year with a net profit of $14.1 billion, up 32% YoY or earnings per share of $2.91, an increase of 41% over last year in their earnings for the financial year Q4 2018 that ended September 29, 2018. During earnings call Tim Cook said that the company produced record results from iPhone, services, and wearables that drove our momentum and it produced strong double-digit revenue growth in all of the geographic segments.
- iPhone revenue grew 29% with growth of more than 20% in every geographic segment. iPhone ASP was $793 compared to $618 a year ago, driven by strong performance of iPhone X, 8 and 8 Plus, as well as the successful launch of iPhone XS and XS Max in the September quarter
- Services was best quarter ever in total and virtually in every market around the world, with revenue of $10 billion. Services growth in Q4 this year was 27%. Sevices sector also reached new all-time quarterly revenue records for many services categories, and will achieve goal to double our fiscal 2016 services revenue by 2020.
- There are now 330 million paid subscriptions on Apple platform, an increase of over 50% versus a year ago
- Products revenue grew 31% to a new September quarter record with an increase of over $1 billion compared to a year ago, thanks to wearables growth of over 50% and the strong performance of Apple TV, in addition to the introduction of HomePod earlier this year.
Apple sold
- 46.9 million iPhones compared with growth of 20% or more in several markets, including Japan, Australia, New Zealand, Sweden, Norway, Chile, and Vietnam.
- 5.3 million Macs with growth in emerging markets, with strong growth in Latin America, in India, the Middle East and Africa, and Central and Eastern Europe.
- 9.7 million iPads with growth in a number of key regions around the world, including Latin America, Europe, Japan, India, and South Asia.
Apple CFO Luca Maestri said that starting with the December quarter, Apple will no longer be providing unit sales data for iPhone, iPad and Mac since unit of sale is less relevant for the company at this point compared to the past, because it got this much wider sales price dispersion, so unit of sale per se becomes less relevant.
Starting with the December quarter, Apple is renaming the other products category to wearables, home, and accessories to provide a more accurate description of the items that are included in this product category.
Regarding the same, Apple CFO, said:
As I know you’re aware, by the way, our top competitors in smartphones, in tablets, in computers, do not provide quarterly unit sales information either. But of course we understand that this is something of interest and when we believe that providing qualitative commentary on unit sales offers additional relevant information to investors, we will do so.
Apple expects revenue between $89 billion and $93 billion, a new all-time record and gross margin between 38 and 38.5 percent for FY Q1 2019.