Apple reports Q1 2020 revenue of $91.8 billion

As is par for the court, it’s been three months since Apple last reported its quarterly earnings. And today we get the latest update.

On Tuesday, Apple officially announced the first fiscal quarter earnings of 2020. This stretch of three months includes one of the hottest streaks of consumerism in many markets thanks to the holidays, so it’s no surprise that Apple raked in a lot of money. Both in hardware and software.

However, as we all know by now, Apple is not breaking down individual sales of the iPhone, iPad, or Mac anymore, but rather just giving us large numbers to indicate how much money they’re bringing in. And this quarter was a monster, record-breaking success for the company. Here’s how it looks, per category:

  • Services: $12.72 billion
  • iPhone: $55.96 billion
  • Wearables, Home, and Accessories: $10.01 billion
  • Mac: $7.16 billion
  • iPad: $5.98 billion

The total revenue for the company over the three month stretch was $91.8 billion. Compare that to the $84.3 billion in revenue it made in the fiscal first quarter of 2019 and that’s a year-over-year increase of 9%. The company recorded a total profit of $22.2 billion.

Here’s the opener on the earnings reported today:

Apple today announced financial results for its fiscal 2020 first quarter ended December 28, 2019. The Company posted quarterly revenue of $91.8 billion, an increase of 9 percent from the year-ago quarter and an all-time record, and quarterly earnings per diluted share of $4.99, up 19 percent, also an all-time record. International sales accounted for 61 percent of the quarter’s revenue.

And here’s the company’s CEO, Tim Cook, weighing in:

We are thrilled to report Apple’s highest quarterly revenue ever, fueled by strong demand for our iPhone 11 and iPhone 11 Pro models, and all-time records for Services and Wearables,” said Tim Cook, Apple’s CEO. “During the holiday quarter our active installed base of devices grew in each of our geographic segments and has now reached over 1.5 billion. We see this as a powerful testament to the satisfaction, engagement and loyalty of our customers — and a great driver of our growth across the board.

And finally, Apple’s CFO, Luca Maestri, on the latest report:

Our very strong business performance drove an all-time net income record of $22.2 billion and generated operating cash flow of $30.5 billion,” said Luca Maestri, Apple’s CFO. “We also returned nearly $25 billion to shareholders during the quarter, including $20 billion in share repurchases and $3.5 billion in dividends and equivalents, as we maintain our target of reaching a net cash neutral position over time.

It seems safe to say that the iPhone 11 and iPhone 11 Pro did pretty well since launch. But it’s also safe to say that services continue to be a dominant force for Apple leading into 2020. That will probably continue to be the case for quite some time.

Looking ahead, here are Apple’s projections for the next quarterly earnings report:

  • revenue between $63.0 billion and $67.0 billion
  • gross margin between 38.0 percent and 39.0 percent
  • operating expenses between $9.6 billion and $9.7 billion
  • other income/(expense) of $250 million
  • tax rate of approximately 16.5 percent

Apple is following up the earnings report with its standard conference call to go over the earnings.