Apple on Monday reported revenue of $58 billion and a net profit of $13.6 billion, or $2.33 per diluted share, for the fiscal second quarter. The figures topped Wall Street expectations of between $52 billion and $55 billion in revenue.
In comparison, Apple brought in $45.6 billion in revenue and $10.2 billion in profit during the same period a year ago. Gross margin checked in at 40.8 percent versus 39.3 percent in the year-ago quarter.
Apple said it sold 61.2 million iPhones during the quarter, the second highest number of handsets sold in a single quarter to date. During the holiday quarter, the Cupertino-based company sold a record 74.5 million phones.
Analysts had predicted a solid showing from Apple during the three-month period largely due to increased market share overseas – specifically, in China. True enough, international sales accounted for 69 percent of the company’s quarterly revenue.
A total of 4.6 million Macs were sold during fiscal Q2, up from 4.1 million a year ago.
CEO Tim Cook said they are thrilled by the continued strength of the iPhone, Mac and the App Store. He added that they are seeing a higher rate of people switching to iPhone than they’ve experienced in previous cycles and are off to an exciting start to the June quarter with the launch of Apple Watch.
The iPad was perhaps the only sore spot on Apple’s earnings report. The tablet continued its sales decline as only 12.6 million slates were sold during the period. That’s down from the 16.4 million iPads sold during the same quarter a year ago.
Sales are down largely because of two primary factors. People simply don’t upgrade tablets as often as they do smartphones. What’s more, the large screen on the iPhone 6 Plus is likely cannibalizing some sales.