Apple crossed the $US1 trillion mark in August - a first for a USA company - after reporting strong second-quarter results. Global sales made up 61 per cent of the total number. This is the summary of Apple's quarterly result for the fourth quarter.
"If you go to the market and you push your cart up to the cashier and she says, or he says, 'How many units you have in there?' It doesn't matter a lot how many units there are in there in terms of the overall value of what's in the cart".
Apple's revenue from services increased 17% YoY to US$9.98 billion. Apple gets most of its revenue from iPhone sales and lately it's boosted its profits by selling higher-priced models.
Apple shares were selling off in early trading Friday as Wall Street reacted to the tech giant's weaker-than-expected holiday sales guidance and an announcement that it would no longer report the number of iPhone it sold on its quarterly earnings reports.
Apple's revenue from other products recorded the maximum growth, bringing in US$4.23 billion, up by 31% YoY. Monday's fall came after Apple told its smartphone assemblers Foxconn and Pegatron to halt plans for additional production lines dedicated to the iPhone XR which hit shelves in October, Reuters reported citing a Nikkei report.
For the quarter ended in September, Apple brought in $62.9 billion in revenue, beating expectations of $61.5 billion respectively.
"We concluded a record year with our best September quarter ever, growing double digits in every geographic segment", Apple chief financial officer Luca Maestri said in a statement. Apple, Cook said, manufactures some of the entry iPhones in India and "that project" has gone well. On Friday, the elimination of unit-sales data contributed to shares falling 6.6% as the company shed $71.19 billion in market value in a single day.
Before Thursday, Apple shares had withstood a recent tech stock rout.
Cook added that the company is also continuing its push into education, coding and environmental initiatives. Apple Stores will soon number 506, half of that outside the US.
George Salmon, an analyst at Hargreaves Lansdown said that Apple was charging close to $800 per phone, and while that's helping revenues climb despite flat sales volumes it can not last. In our view, this is becoming more of an ASP driven story versus unit one, so it does make sense to an extent, however we always like to see solid transparency in terms of understanding how this business is faring.