Apple posts Q2 revenues of $58.3bn

David Murphy

Apple has posted revenues of $58.3bn (£45.73bn) for its fiscal 2020 second quarter for the period ending 28 March 2020, a 1 per cent year-on-year increase from $58bn for the same quarter in 2019. 

Revenues from Services, including Apple Music, Apple TV+, the App Store, iCloud and Apple News, came in at $13.3bn, up from $11.1bn for the same quarter in 2019. iPhone sales brought in $28.96bn, wearables, $10.01bn.

“Despite COVID-19’s unprecedented global impact, we’re proud to report that Apple grew for the quarter, driven by an all-time record in services and a quarterly record for wearables,” said Apple CEO, Tim Cook, Apple’s CEO. “In this difficult environment, our users are depending on Apple products in renewed ways to stay connected, informed, creative, and productive. We feel motivated and inspired to not only keep meeting these needs in innovative ways, but to continue giving back to support the global response, from the tens of millions of face masks and custom-built face shields we’ve sent to medical professionals around the world, to the millions we’ve donated to organisations like Global Citizen and America’s Food Fund.”

In a call with investors after the results were released, however, Cook alluded to the current strained business circumstances as he told investors that, breaking with tradition, Apple would not be issuing guidance for the current quarter.

“Given the lack of visibility, we will not be issuing guidance for the coming quarter, though we have a high degree of confidence in the enduring strength of our business,” he said.

eMarketer principal analyst Yoram Wurmser said this was a solid set of results.

"Everyone knew that March would be rough for Apple, but given the effects of coronavirus on supply chains in China and demand everywhere, Apple's performance was pretty solid in Q2,” he said. “Growth of 1 per cent in this environment is impressive, particularly given some of the extent of Apple's exposure to the earlier lockdowns in Asia.

"The biggest bright spot for Apple was services, which grew 17 per cent year-over-year. As people spent more time on their phones while locked away at home, they clearly were spending more money in the App Store and on some of the subscription services offered by Apple, including Apple Music and Arcade."