Apple posts record revenues on strong iPhone sales

Apple reported fourth-quarter revenues of $111.44 billion thanks to record iPhone sales, with EPS beating Wall Street expectations, too.

Reuters’ Stephen Nellis reported:

Apple Inc on Wednesday reported holiday quarter sales and profits that beat Wall Street expectations, as new 5G iPhones helped push handset revenue to a new record and sparked a 57% rise in China sales.

Apple shipped its iPhone 12 lineup several weeks later than usual, but an expanded number of models and new look tapped pent up demand for upgrades, especially in China. The company also posted strong sales of its Mac laptops and iPads in the quarter, driven by consumers working, learning and playing from home during the pandemic.

Emily Bary from MarketWatch wrote:

Apple’s China revenue surged to $21.31 billion from $13.58 billion with iPads, Macs, and wearables all exceeding the average performance at the company. Apple saw a record number of people upgrading their iPhones in China during the quarter.

Overall, Apple reported net income of $28.76 billion, or 1.68 a share, up from $22.24 billion, or $1.25 a share, in the year-prior period. Analysts expected $1.42 a share in earnings.

The Wall Street Journal’s Tim Higgins noted:

Apple shares rose 84% over the past year through Wednesday’s close on investor enthusiasm around its latest iPhone and heightened spending on its products from consumers working, going to school and seeking entertainment while stuck at home.

Profit rose 29% to $28.76 billion in the three months ended in December, its fiscal first quarter.

Apple didn’t provide specific revenue guidance for the current quarter, but Chief Financial Officer Luca Maestri provided a rough indication of how it was trending. He said revenue should be better than last year, when the company posted $58.3 billion in revenue for its second fiscal quarter.