Despite all the pessimistic forecasts that made the rounds lately and which predicted declining iPhone sales, Apple reported a very strong FY18 Q1, partially thanks to the iPhone X.
The last three months of the year proved to be particularly successful for Apple following the introduction of iPhone 8 and iPhone X, and the earnings report reveals growing revenues over the previous quarter.
The company’s revenues totaled $88.3 billion for the quarter, while profit reached $20.1 billion thanks to strong sales that include 77.3 million iPhones, 13.2 million iPads, and 5.1 million Mac systems. Apple sold fewer iPhones when compared to the same quarter the year before, but revenue increased thanks to the higher price of its devices.
The iPhone X is the most expensive iPhone model to date, with pricing starting at $999 in the United States for the base version. An iPhone X with 256GB storage costs $1,149 in the US.
Here’s how Apple did the last quarter versus the previous quarter and the same period of 2016:
|FY18 Q1||$88.3 billion||$20.1 billion||iPhone: 77.3 million
iPad: 13.2 million
Mac: 5.1 million
|FY17 Q1||$78.4 billion||$17.8 billion||iPhone: 78.3 million
iPad: 13 million
Mac: 5.3 million
|FY17 Q4||$52.6 billion||$10.7 billion||iPhone: 46.7 million
iPad: 10.3 million
Mac: 5.4 million
Another big achievement for Apple during the last quarter is reaching 1.3 billion active installed base of devices. CEO Tim Cook says this is a 30 percent increase in just two years.
Furthermore, Cook explains that iPhone X sales have so far been very strong, selling better than any other iPhone model on the market.
“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,” Cook said.
Apple, however, expects revenue to decline during the next quarter and drop somewhere close to $60 and $62 billion, confirming that demand for the iPhone X is indeed likely to drop.
Sources from the supply chain revealed that Apple reduced iPhone X orders by as much as 50 percent due to weakening demand.