Apple today unveiled the results of its first fiscal quarter 2022 and reassured all fearful investors: its revenues broke all records, increasing by 11% over one year to 123.9 billion dollars. Net income was $34,630 million, which would be half of what Microsoft paid for Activision Blizzard.
All divisions of the company exceeded investor expectations and grew, except iPad whose income has decreased from what was thought to be income. In fact, year-over-year growth was negative 14%. The divisions that grew the most were Services (24% YoY) and Mac (25% YoY). This shows the good popularity of the M1 family of chips, which earned Macs more than $10,000 million for the first time in history.
Apple released a press release that includes a comment from Tim Cook regarding the numbers:
“We are grateful to see the response from consumers around the world at a time when being connected is more important than ever. education for equality and racial justice”
For shareholders, these results translate into a new dividend with which they will receive $0.22 per share on February 10. The company’s stock rose in value after markets closed, buoyed by record sales.
Breakdown revenue shows iPhone is the mainstay of the business, as always, but the services and accessories divisions also occupying a good share of the pie. Europe and China are also gaining market share in Apple’s global sales, although the leader remains the Americas. Japan is the only market whose sales are declining.
I’ll break down the most important points that Tim Cook and Luca Maestri (Apple’s CFO) commented on during the press conference:
- “No one could have predicted the impact of the iPhone. It has transformed the world into something we could never have imagined.” Tim Cook dedicates these words to the fifteenth anniversary of the presentation of the iPhone.
- Tim Cook confirms that M1 chips are responsible for the good growth of the Mac division.
- The App Store has literally been described as a “miracle”: Apple series already has 200 awards, and developers have grabbed $260,000 million thanks to its developers.
- Physical Apple Stores also broke records, especially in terms of revenue and customer satisfaction.
- The total number of active devices Apple has on the streets is 1.8 billion.
- Luca Maestri comments that the decline in iPad revenue is due to “a particular statement of production cuts”. Yet half of all new iPad buyers were new users.
- Two in three Apple Watch buyers were new to the product.
- Apple received $785 million based on subscriptions to its services during the quarter.
- We still do not have forecast figures for the next fiscal quarter. Apple has stopped doing this since the start of the pandemic due to “uncertainty”.
- Apple, about the metaverse: “We are always exploring new and emerging technologies, and this area is very interesting for us. We see a lot of potential and we are investing resources accordingly”
Picture | timbatec
