Highlights from the earnings report and conference call
Origin: appleinsider • highlights from the earnings report and conference call

  • This quarter marks Apple’s first with revenue above $100 billion.
  • Apple appears to have beaten most analyst expectations during this quarter -MP
  • This result caps off the most challenging year any of us can remember,” Cook said
  • Tim Cook says Apple has seen double-digit growth across its entire product lineup.
  • Apple has “hit a new high watermark” for installed devices with 1.6 billion devices worldwide. iPhone grew by 17% year-over-year, driven by strong iPhone 12 demand.
  • iPad and Mac grew by 41% and 21% respectively. Demand has been “very strong” for the iPad Air and M1-equipped Mac devices.
  • The Wearables, Home, and Accessories segment grew by 30%. Each subgroup of the broader segment set records during the quarter.
  • Cook speaks a bit about new Services offerings, including Apple Fitness+ and Apple One.
  • On International Privacy Day, the Apple CEO says: “We set new standards to users right to privacy, not just for our products, but to be the ripple in the pond to move the industry forward.”
  • Now, Cook is talking about its racial equity initiatives, including the recently announced Propel Center and other endeavors.
  • Apple staffers have donated more than $600 million and volunteered more than 1.6 million hours since it launched the Apple Giving Program.
  • Cook has passed the call to Maestri.
  • Revenues increased nearly $20 billion from the year-ago quarter.
  • iPhone, Wearables, Home and Accessories, and Services reached all-time high. Mac set a new December record
  • Apple established new records across its Services categories and in most geographies.
  • Gross margins clocked in at 39.8%, up 160 basis points. Maestri attributes it to better sales and a higher mix. Product gross margin was 31.5%, while Services was 68.4%
  • iPhone revenue is up 17% year-over-year. The iPhone has reached an all-time high installed base of 1 billion devices
  • Apple touts research indicating iPhone 12 customer satisfaction is 98% for the iPhone 12 lineup.
  • Maestri says new Services like Fitness+ and Apple TV+ are contributing to Services growth
  • Installed base for Services reached all-time high for every category. Apple has exceeded 600 million paid subscriptions before 2020 ended. Now has more than 620 million, up 140 million from a year ago
  • Payment services have expanded with 90% of stores now accepting Apple Pay
  • About 75% of Apple Watch customers are first-time buyers, contributing to the product’s reach. Wearables is now the size of a Fortune 120 company.
  • Mac set a new record in the December quarter with strong double-digit growth across geographies. Strong demand for M1 Mac
  • Performance of the iPad is up 41% and, like the Mac, is also strong in every geographic segment. Japan set new records.
  • Apple says customer satisfaction is 93% for Mac and 94% for iPad. Half of customers were new to the products
  • On cash position: Apple ended its quarter with $196 billion in cash along with marketable securities
  • Apple retired $1 billion in maturing debt. Total debt of $112 billion.
  • Apple says it has $84 billion in net cash. Has returned $30 billion to shareholders. $24 billion through repurchasing of 200 million Apple shares.
  • Apple will not be guiding to a specific revenue range for the March quarter, citing coronavirus concerns.
  • Says it can provide directional insights provided COVID doesn’t get worse.