Yesterday, Apple released the results for the fiscal third quarter of 2019 (which ran from March 31, 2019 to June 29, 2019) and held an interview with analysts to discuss the results. This is usually not a big fiscal quarter for Apple; The important quarter for Apple each year is the first tax quarter (which includes the holiday season). During the fiscal third quarter, most potential Apple customers – who mostly mean iPhone customers – are waiting to see what new products Apple will introduce this fall. Still, Apple had its best fiscal third quarter ever, with quarterly revenue of $ 53.8 billion, just over a year ago, when Apple reported a record $ 53.3 billion. If you want to get all the funny, funny details, you can download the audio from the announcement conference Cal I Come From iTunes, or you can read a transcript of the conversation prepared by Seeking Alpha, or a transcript prepared by Jason Snell of Six Colors. Apple's official press release is here. As always, I'm not as interested in the financial details as I am the statements of Apple executives during the conversation that is of interest to iPhone and iPad users. Here are the elements that stood out to me.
- Apple no longer reports quarterly iPhones sold. Apple reports iPhone revenue, and while iPhone revenue for the last quarter was $ 26 billion, down 1
- Cook noted that just last week Apple bought most of Intel's smartphone modem business. This was Apple's biggest acquisition ever in terms of employees, and second largest in terms of dollars. The modem is obviously a key part of every iPhone, and Cook said this acquisition is in line with Apple's "long-term strategy to own and control the primary technologies behind the products we make."
- When asked about a 5G iPhone, Cook replied that he would not comment on future products, but he will say that "I think most people will tell you that we are in the form of the extremely early rounds of it."
- iPad revenue for the last quarter was just over $ 5 billion, up from $ 4.9 billion last quarter and up from $ 4.6 billion in fiscal third quarter 2018. This was the third quarter of row in revenue growth on iPad.
- Cook pointed out that Apple has a strong iPad lineup, with iPad, iPad Mini, iPad Air and iPad Pro. I agree; Apple has a huge selection of iPad devices right now.
- Cook said that Apple had "an absolute blowout quarter for Wearables, where we had an accelerating growth of well over 50%." So people buy Apple Watches and AirPods.
- Apple Watch sales were at a record level in the last fiscal quarter, and over 75% of customers who purchased an Apple Watch bought their first Apple Watch.
- Apple Pay now completes nearly 1 billion transactions each month. I use it more and more, but given that number, I'm not the only one. Apple Pay now works in 47 countries / markets.
- Apple will begin rolling out its new credit card, Apple Card, in August.
Finally, if you want to see some interesting charts that provide a graphical overview of this past fiscal quarter, check out this post by Jason Snell of Six Colors.