Apple said it reaped a record $124 billion in revenue in its fiscal first quarter — an 11% increase from last year which was fueled by strong holiday sales, particularly of its Mac computers.
The iPhone maker says it turned a profit of $34.6 billion in the months of October, November, and December. It also reported earnings-per-share of $2.10.
Apple beat expectations from Wall Street analysts who expected the company to report $118.5 billion in revenues with an earnings per share of $1.89.
The earnings report sent shares of Apple soaring by more than 3% in after-hours trading.
All of the tech giant’s revenue-generating products outperformed analyst forecasts except for the iPad, which sold less because the company was hamstrung by supply constraints.
Apple revenue from iPhone sales were $71.63 billion — up 9% from the first quarter of last fiscal year.
The first quarter was the first full quarter in which the company sold its new iPhone 13. Apple CEO Tim Cook said the company managed to boost sales of its signature smartphone “despite having supply constraints during the quarter.”
Apple Services, which includes music, movies, TV shows, books, and app purchases, generated $19.52 billion, a robust 24% increase year over year.
The company sold $10.85 billion worth of Macs — a 25% improvement year over year. Apple’s other products category, which include Apple Watch and AirPods, drummed up sales of $14.70 billion, a 13% increase year over year.
But its iPad sales lagged. Apple reported $7.25 billion, a 14% drop from first quarter of fiscal year 2021.
Apple has not stated its expectations for the current quarter, saying that the pandemic had created too many uncertainties.
But Cook told CNBC that he expects the company to continue growing this quarter as supply chain bottlenecks begin to loosen up.
“What we expect for the March quarter is solid year-over-year revenue growth,” Cook said.
“And we expect supply constraints in the March quarter to be less than they were in the December quarter.”
Cook added: “Our biggest issue is chip supply, it’s chip supply on legacy nodes. And we’re doing okay on the leading edge stuff.”
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