Conclusion: Apple just had a record March quarter with impressive revenue growth for its services and Mac computers. iPads, on the other hand, have not been so hot as they have faced significant supply chain issues due to new pandemic waves in Asia.
Apple has just announced the financial results for its second fiscal quarter of 2022, which covers the months of January, February and March. The Cupertino company beat analysts’ estimates with massive revenue and profit increases across most of its product lines.
For the quarter, Apple reported revenue of $97.3 billion, a 9% year-over-year increase and profit of $25 billion, or $1.52 profit per stock.
Apple does not report unit sales of its products, instead providing a revenue breakdown by category. iPhones continue to be the company’s biggest earners, totaling $50.6 billion (up 5.5% year-over-year) in revenue in the second quarter. Macs brought Apple $10.4 billion (up 14.3% year-on-year), while wearables brought in $8.8 billion (up 12.2% year-on-year) .
The services category set an all-time revenue record at $19.8 billion, up 17.2% year-on-year. However, iPad revenue fell 2.2% year-over-year to just $7.6 billion. Apple CEO Tim Cook blamed the lackluster performance of its tablet business on significant supply constraints it faced in the quarter.
Apple’s Services category includes the App Store, iCloud, Apple Music and Apple TV+. It will be interesting to see if the company can sustain its momentum in this area in the post-Covid era.
Apple declined to provide guidance for the current quarter, citing continued uncertainty due to the pandemic. However, Chief Financial Officer Luca Maestri warned that supply constraints could hurt sales by up to $8 billion this quarter.
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