Apple posts $84.3Bn revenue with a 15 per cent decline in iPhone sales
Apple has posted an $84.3 billion revenue for the first quarter of 2019 fiscal year, despite slow iPhone sales. This is a 5 per cent decline from last years revenue, but revenue from other products and services have grown by 19 per cent this time.
The company said in a statement on Tuesday, that revenue from iPhone at $52 billion, declined 15 per cent last year, whereas international sales accounted for 62 per cent of total revenue.
This is for the first time that Apple didn't disclose the number of iPhone units sold this time.
Apple CEO Tim Cook said, "While it was disappointing to miss our revenue guidance, we manage Apple for the long term, and this quarter's results demonstrate that the underlying strength of our business runs deep and wide".
Apple stocks went up 6 per cent during the end of trading.
Tim added during the company's earnings call that, "Our customers are holding on to their older iPhones a bit longer than in the past".
Despite the decline in iPhone sales, the services revenue reached an all-time high of $10.9 billion, which happens to be 19 per cent up over the prior year.
Apple marked a revenue generation from Mac and wearables, home and accessories that showed an all-time high growth of 9 per cent and 33 per cent respectively. The revenue from iPad grew 17 per cent as well.
Cook went on to inform that, "Our active installed base of devices reached an all-time high of 1.4 billion in the first quarter, growing in each of our geographic segments".
The total sales of $84.3 billion this time was the first annual revenue decline during a holiday season quarter of Apple, since 2001.
Apple's CFO Luca Maestri said, "We generated very strong operating cash flow of $26.7 billion during the December quarter and set an all-time EPS record of $4.18".
Maestri added, "We returned over $13 billion to our investors during the quarter through dividends and share repurchases. Our net cash balance was $130 billion at the end of the quarter, and we continue to target a net cash neutral position over time".
Reports from Apple suggest that its fiscal 2019 second quarter expected revenue would be between $55 billion and $59 billion, while the operating expenses would be between $8.5 billion to $8.6 billion.
(With IANS inputs)
