Record iPhone sales for Apple as quarterly revenues rise to $111bn

Record iPhone sales have helped Apple deliver revenues of more than $100bn over the Christmas quarter.

Apple’s results beat Wall Street estimates as demand from stay-at-home consumers also boosted its Mac computers and iPad tablets in the three months to 26 December.

Overall revenues climbed 21% compared with a year earlier to $111.4bn while iPhone sales rose 17% to $65.6bn beating a previous all-time high set three years ago.

Apple is one of Imagination Technology's most important customers
Image:Apple chief executive said it now had a base of 1.65bn installed devices

Pent-up demand for four new 5G iPhone 12 models, whose launch last year was delayed by pandemic-related production problems, appeared to have driven the surge in revenues for the handset in the most recent three-month period.

China, whose economy has reopened while much of the rest of the world is held back by tough restrictions, saw especially strong growth of 57% in sales.

Apple’s value has surged to $2.4trn during the pandemic as, despite store closures, lockdowns have spurred consumers to buy or upgrade devices.

Chief executive Tim Cook told the Reuters news agency that the company now had an “active installed base” of 1.65bn devices, up from 1.5bn a year ago – including 1bn iPhones, up from 900m disclosed most recently in 2019.

More from Business

  • Tesla posts first profit after stellar year for electric car maker

  • Boeing 737 MAX cleared for return to UK skies after deadly crashes

  • COVID-19: ‘Perfect storm’ leaves 400,000 jobs lost in events sector – industry body

  • Contactless card payment limit could be increased to £100

  • Veteran Darktrace chairman to step down ahead of $5bn float

  • Short-sellers burned as small investors pile into Gamestop options

Apple’s services business, which includes television, music and cloud storage, posted better-than-expected revenues of $15.8bn while wearables and accessories – which include the Apple Watch and AirPods, hit nearly $13bn.

Mr Cook said the business had seen an “enthusiastic customer response to the unmatched line of cutting-edge products that we delivered across a historic holiday season”.

Apple has launched the AirPods Max, available for £549
Image:Sales of wearables including AirPods hit $13bn

Profit for the quarter climbed to $28.8bn, 29% up on year earlier.

Daniel Ives, an analyst at Wedbush Securities, said that if momentum continues to build Apple could become the first US company to be valued at $3trn.

However the company’s shares – which have risen 12% in the last couple of weeks alone – edged 2% lower in after-hours trading.

Mark Gibson

Graduates in Northwestern University, Evanston, Illinois 1990. Move to Los Angeles California in 2004. Specialized in Internet journalism.

Leave a Reply

Your email address will not be published. Required fields are marked *