Apple revenue dips 3% despite selling more iPhones

Apple has posted quarterly revenue of $94.8 billion (–3 percent) for its fiscal 2023 second quarter ended April 1, 2023.
Apple iphone 12 5G smartphone in SingaporeApple has generated revenue of $51.334 billion ($50.570 billion) from the sale of iPhones, $7.168 billion ($10.435 billion) from Mac, $6.67 billion ($7.646 billion) from iPad, $8.757 billion ($8.806 billion) from Wearables, Home and Accessories and $20.907 billion ($19.821 billion) from Services.

Apple has generated quarterly revenue of $37.784 billion ($40.882 billion) from Americas, $23.945 billion ($23.287 billion) from Europe, $17.812 billion ($18.343 billion) from Greater China, $7.176 billion ($7.724 billion) from Japan, $8.119 billion ($7.042 billion) from Rest of Asia Pacific.

Apple CEO Tim Cook said that the company set a fiscal second-quarter record for iPhone sales, thanks in part to picking up new users in markets such as India, where Cook recently traveled for the opening of that country’s first Apple stores, Reuters news report said.

Tim Cook said Apple has 975 million subscribers on its platform, which includes both Apple services and third-party apps, up from 935 million last quarter and an increase of 150 million from a year ago.

Apple has shipped 58 million iPhones in Q1 2023 for 21 percent share as compared with 56.5 million units and 18 percent share in Q1 2022, according to Canalys report. Apple was the only top five vendor to grow year-on-year in Q1.
Q1 2023 Apple vs Samsung in smartphone market
The above chart from market research agency IDC indicated the smartphone share of Apple in the recent quarters.

“Apple had robust performance in Q1, particularly in the Asia Pacific region. Here, Apple’s sustained investments into offline channels enabled it to attract a burgeoning middle-class, which places high value on the in-store purchasing experience.” said Runar Bjorhovde, Canalys Analyst.

“We continue to invest for the long term and lead with our values, including making major progress toward building carbon neutral products and supply chains by 2030,” Tim Cook said in its earnings report.

Sales in China dropped 2.9 percent, a slightly larger drop than overall revenue. Apple does not share India specific revenue.

“Apple still needs China on a near-term basis to drive sales and profits,” said Tom Forte of D.A. Davidson. “Long-term, emerging markets are important, especially India from a supply chain and sales standpoint.”