Apple just announced its much anticipated first quarterly earnings today after the launch of the pricey iPhone X. And suffice to say, it had a record-breaking quarter in terms of revenue. Apple CEO, Tim Cook, during the earnings call said, “iPhone X surpassed our expectations and has been our top-selling iPhone every week since it shipped in November.”
Overall smartphone shipments failed to beat expectations, though. According to analysts, the company was expected to sell 80 million units of its smartphones. However, it fell a bit short of that target selling 77.3 million units worldwide. Compared to this, the first quarter of 2017 clocked an even more impressive figure of 78.2 million units.
However, thanks to the iPhone X’s price tag, Apple recorded a revenue of $88.2 billion beating even the estimated $84-$87 billion target forecasted earlier. That is a growth of more than 12 percent over the same quarter last year when the company declared a $78.4 billion revenue. All in all, this can be considered a great quarter for Apple, as it beat revenue estimates even though it didn’t sell as many iPhone X units as it wanted.
The company also continues to improve its user base reaching even more users every year. “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 percent in just two years, which is a testament to the popularity of our products and the loyalty and satisfaction of our customers.”
On the other side, iPads aren’t setting any impressive records, according to the earnings call. Sales of iPads are up just 1 percent over the sale quarter last year. Surprisingly, the services division that encompasses Apple Music, iTunes, and the App Store does bring in more revenue than AirPods, Apple TV, Watch, and iPad combined. The services division has now grown 18 percent year over year.
As for the forthcoming quarter, Apple has projected a revenue of $60 billion. The company is preparing to release the HomePod soon, a new product in the smart speaker segment.