Apple has introduced the monetary outcomes for its fiscal 2024 first quarter that ended December 30, 2023. The corporate posted quarterly income of $119.6 billion, up 2% year-over-year, and quarterly earnings per diluted share of $2.18, up 16% year-over-year.
“In the present day Apple is reporting income development for the December quarter fueled by iPhone gross sales, and an all-time income report in Providers,” stated CEO Tim Prepare dinner. “We’re happy to announce that our put in base of lively units has now surpassed 2.2 billion, reaching an all-time excessive throughout all merchandise and geographic segments. And as prospects start to expertise the unimaginable Apple Imaginative and prescient Professional tomorrow, we’re dedicated as ever to the pursuit of groundbreaking innovation — according to our values and on behalf of our prospects.”
“Our December quarter top-line efficiency mixed with margin enlargement drove an all-time report EPS of $2.18, up 16 % from final 12 months,” stated Luca Maestri, Apple’s chief monetary officer. “Through the quarter, we generated practically $40 billion of working money movement, and returned virtually $27 billion to our shareholders. We’re assured in our future, and proceed to make vital investments throughout our enterprise to help our long-term development plans.”
As ordinary, the iPhone was the highest earner. The Cellphone lively put in base grew to a brand new all time excessive and Apple had an all time report variety of iPhone upgraders in the course of the quarter. Prepare dinner says that prospects are loving the brand new iPhone 15 household with the most recent experiences from 451 Analysis indicating buyer satisfaction of 99% within the US.
“The truth is, many iPhone fashions have been among the many top-selling smartphones world wide in the course of the quarter,” he says. “In line with a survey from Cantar, iPhones have been 4 out of the highest 5 fashions within the US and Japan, 4 out of the highest six fashions in city China and the UK, and all prime 5 fashions in Australia.”
Not surprisingly, Providers income (Apple Music, Apple TV+, AppleCare, iCloud, and so forth.) set an all time report of $23.1 billion, up 11% year-over-year (considering the additional week final 12 months.) This represents a sequential acceleration of development from the September quarter.
“Our put in base is now over 2.2 billion lively units and continues to develop properly establishing a stable basis for the long run enlargement of our companies enterprise,” says Maestri. “And we proceed to see elevated buyer engagement with our companies; each transacting accounts and paid accounts reached a brand new all-time excessive… We had nicely over 1 billion paid subscriptions throughout the companies on our platform, greater than double the quantity that we had solely 4 years in the past
However it was additionally excellent news for the Mac, which generated income of US$7.8 billion. Maestri says buyer response to the most recent iMac and MacBook Professional fashions powered by the M3 chips has been “nice.” He provides that the Mac put in base reached an all time excessive with virtually half of Mac patrons in the course of the quarter being new to the product. Additionally, 451 Analysis not too long ago reported buyer satisfaction of 97% for Mac within the US.
The information wasn’t pretty much as good for the iPad , whose income was $7 billion — down 25% year-over-year. Maestri says the pill iPad confronted a tough evaluate as a result of in the course of the December quarter final 12 months, Apple launched the brand new iPad Professional and iPad 10 era and there was an additional week of gross sales.
“Nonetheless, the iPad put in base continues to develop and is at an all time excessive with over half of the shoppers who bought iPads in the course of the quarter being new to the product,” he says. “Buyer satisfaction for iPad was not too long ago measured at 98% within the US.”
Apple’s wearables/house/equipment market (which incorporates the Apple Watch, AirPods, HomePods, and so forth.) was $12 billion, down 11% year-over-year as a result of a difficult evaluate and the additional week a 12 months in the past. However Prepare dinner says the corporate We continues to draw new prospects to Apple Watch.
“Practically two-thirds of consumers buying an Apple watch in the course of the quarter have been new to the product,” he say. “And the most recent experiences from 451 analysis point out buyer satisfaction of 96% within the US and in companies. We have been very happy with our double-digit development, which was pushed by the power of our ecosystem.”
By way of income, the iPhone accounted for 58.3% of Apple’s income within the fiscal first quarter of 2024. Providers have been 19.3%, Wearables/house/equipment was 105, the Mac was 6.5%, and the iPad 5.9%.
In a name with the press and buyers, Prepare dinner stated that Apple is investing a “great” quantity of effort and time in AI, with particulars to return later this 12 months.
“As we glance forward, we’ll proceed to put money into these and different applied sciences that can form the long run,” he stated. “That features synthetic intelligence, the place we proceed to spend an incredible quantity of effort and time and we’re excited to share the main points of our ongoing work in that house later this 12 months.”
Apple’s board of administrators has declared a money dividend of $0.24 per share of the corporate’s frequent inventory. The dividend is payable on February 15, 2024 to shareholders of report as of the shut of enterprise on February 12, 2024.
Based mostly on the corporate’s fiscal calendar, Apple’s fiscal 2024 first quarter had 13 weeks, whereas its fiscal 2023 first quarter had 14 weeks.
