iPhones brought Apple record revenues again, but Mac sales fell by 31%

Apple has summed up the first quarter of 2023, which corresponds to the second quarter of fiscal year 2023. Smartphones once again brought in record revenue, but Mac sales fell sharply.

Here's What We Know

Apple's revenue fell 3% year-over-year to $94.8 billion, with the smartphone segment bringing in $51.33 billion, a historic high. The growth was 2%. This can be considered a success, as last quarter was disappointing for all manufacturers - sales fell by 15% on average.

Smartphones accounted for more than half (54%) of Apple's total revenue. However, net income fell from $25 billion to $24.16 billion and operating profit fell from $29.9 billion to $28.3 billion, a 44.3% profit margin.

Mac sales fell 31% from the year-ago period to $7.17 billion, but that's no big deal given the 33% year-over-year contraction in the global personal computer market.

Revenues from iPad tablets also fell, but not as precipitously. Sales were down 13% to $6.67 billion, despite the arrival of M2 chip models. This was in line with Apple's expectations, although analysts had predicted higher revenue.

Wearable gadgets, including headphones, brought in $8.76 billion, down 1% from a year earlier. Total product revenue fell 5% to $73.9 billion with a 36.7% profit margin. The main reason for the decline is low demand for Macs.

As for services, this area brought Apple a record $20.9 billion in revenue. Compared to the first quarter of calendar year 2022, revenue increased by 5.5%.

Source: CNBC