Apple post record high USD 111 bil revenue last quarter despite COVID-19 and delayed iPhone 12 release

Apple announced that it raked in its highest ever revenue in the quarter that ended on 31 Dec 2020. The Cupertino company released its fiscal Q1 2021 results in which it reported USD 111.4 billion (RM451.6 billion) in revenue, which is an increase of 21% year-on-year (YoY).

Despite the delayed launch of the iPhone 12 line last year due to the COVID-19 pandemic, Apple managed to achieve all-time high iPhone sales that amounted to USD65.6 billion (RM266 billion).

The company also announced that the iPhone has surpassed 1 billion active users for the first time. Its chief executive officer Tim Cook shared that there are now 1.65 billion Apple devices in active use compared to 1.5 billion in January 2020.

The Verge reported that Apple counts a device as being active if it has been engaged with an Apple service within the past 90 days. This stat suggests that a substantial number of iPhones sold remain in active use, at least according to Apple’s definition.

The iPhone maker also posted strong sales for its other devices like its MacBook laptops and iPads during the quarter. Much of this is driven by consumers who are now working, learning and playing from home due to the pandemic.

During an interview with Reuters, Cook cited Apple’s growth was primarily attributed to the company’s success in China. The report adds that overall iPhone sales in China rose 57% to USD21.3 billion (RM86.3 billion). Cook also shared that Apple had two of the top three selling smartphones in urban China, adding that many of the company’s other products and services also sold well.

Cook said that Apple gained iPhone sales in China both from customers switching from rival Android devices and existing customers upgrading devices. He said that upgraders, in particular, set an all-time record in China. 

It should be noted that Apple no longer discloses how many iPhones it sells each quarter. The Cupertino based company instead releases information about its active install base instead.

Admittedly, this is a broader metric compared to quarterly device sales. But, the number does provide an idea of Apple’s overall audience size for its various subscription service offerings that require Apple devices. In October Apple started bundling its services including Apple Music, iCloud, Arcade and TV+ into a single subscription fee called Apple One.

Cook said more iPhones could have been sold if not for the pandemic. He attributed the shortfall in sales due to the temporary closure of some of its Apple Stores around the world.

[SOURCE, 2, 3]

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