The company posted financial results for Q1 2019

Jan 29, 2019 22:47 GMT  ·  By

Apple has announced today the financial results for Q1 2019, which ended on December 29, 2018, reporting the quarterly revenue from iPhone, iPad, iPod, Mac, Apple TV, services, and wearables sales.

In a press release, the tech giant reports a quarterly revenue of $84.3 billion for its fiscal 2019 first quarter, which declined with 5 percent from the year-ago quarter, and quarterly earnings per diluted share of $4.18, which are up 7.5 percent compared to the prior year. Apple says that 62 percent of the revenue from Q1 2019 are accounted from International sales.

The decline in revenue is as a result of low demand for iPhone devices, as Apple reports that the iPhone sales dropped 15 percent from the prior year, despite the company's efforts to bring more versatile and powerful devices to the already saturated mobile phone market with the iPhone XS, iPhone XS Max, and iPhone XR, which were released in September 2018.

"While it was disappointing to miss our revenue guidance, we manage Apple for the long term, and this quarter’s results demonstrate that the underlying strength of our business runs deep and wide," said Tim Cook, Apple’s CEO. "Our active installed base of devices reached an all-time high of 1.4 billion in the first quarter, growing in each of our geographic segments."

Revenue from iPad sales grew 17 percent

While people don't seem to find interest in newer iPhone models anymore, Apple reports that the revenue from iPad sales grew 17 percent in Q1 2019 compared to the year-ago quarter. The revenue from services also saw a growth of 19 percent over the prior year, reaching an all-time high of $10.9 billion, as well as the revenue from Mac and HomePod, which grew 9 percent, and from Apple Watch and accessories, which saw a 33 percent growth.

After reporting the financial results for Q1 2019, Apple provided guidance for Q2 2019, saying that the revenue will be estimated between $55 billion and $59 billion with a gross margin between 37 percent and 38 percent. Also, their operating expenses should stand between $8.5 billion and $8.6 billion, the other income/(expense) could reach $300 million, and the tax rate will saw a growth of approximately 17 percent.