Apple posts record quarterly revenues of $91.8bn

David Murphy

Apple has posted record quarterly revenues of $91.8bn (£70.5bn) for its fiscal 2020 first quarter ended December 28, 2019. The figure represent a 9 per cent year-on-year increase over Q1 2019. The figures were driven by strong iPhone sales and similarly strong sales for the company’s Services and Wearables division, the latter including the Apple Watch and AirPods.

“We are thrilled to report Apple’s highest quarterly revenue ever, fuelled by strong demand for our iPhone 11 and iPhone 11 Pro models, and all-time records for Services and Wearables,” said Apple CEO, Tim Cook. “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.”

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

"This was a strong quarter for Apple, primarily driven by strong sales of the iPhone 11 lineup," said eMarketer principal analyst Yoram Wurmser. "One note of caution in an otherwise strong report was that Services (which included Apple TV+) grew slightly below expectations. This miss could be attributed to the competition from Disney +, which launched at roughly the same time."

Apple has provided guidance of revenues between $63bn and $67bn for Q2.