Apple iPhone Sales Down, Reports Record Quarter
Apple’s iPhone sales dropped from the previous quarter but made up for it in sales after bumping up the price of its 10th anniversary iPhone X.
Apple sold 77 million iPhones over the quarter, one million less compared to the previous year with its sales hitting US$61.5bn compared to US$54.3bn in the prior year, a 13 per cent rise. This is because Apple raised the price of its iPhone from $1,079 for an iPhone 7 to $1,579 for the iPhone X, both at starting prices.
Its total revenue jumped 13 per cent from US$78.3bn to US$88.3bn, which Apple says is a record for the tech giant. Its net income grew compared to the previous quarter from US$17.8bn to US$20.1bn.
Strong sales from the iPad and other products such as the Apple Watch and app store purchases helped the company achieve its revenue growth.
Tim Cook, CEO at Apple says, “We’re thrilled to report the biggest quarter in Apple’s history, with broad-based growth that included the highest revenue ever from a new iPhone lineup. iPhone X surpassed our expectations and has been our top-selling iPhone every week since it shipped in November.
“We’ve also achieved a significant milestone with our active installed base of devices reaching 1.3 billion in January. That’s an increase of 30 per cent in just two years, which is a testament to the popularity of our products and the loyalty and satisfaction of our customers.”
At the moment Apple’s stock on the NYSE is priced at US$167.8, a 0.21 per cent growth.
Luca Maestri, CFO at Apple commenting on the results says, “Thanks to great operational and business performance, we achieved all-time record profitability during the quarter, with EPS up 16 percent.
“Cash flow from operations was very strong at US$28.3bn, and we returned US$14.5bn to investors through our capital return program.”
Read the full financial statements here.